Seshasayee Paper and Boards Limited — Important, 19-07-2025: Updates

Seshasayee Paper reported weaker Q1 financial results: Revenue at Rs 385.33 Cr (down from Rs 422.16 Cr YoY) and Net Profit at Rs 17.06 Cr (down from Rs 38.34 Cr). Production and domestic sales rose, but export volumes significantly dropped 35% due to US tariffs. Lower paper realizations and higher wood costs squeezed profitability, though lower chemical/coal prices helped. The company is proceeding with a Rs 405 Cr capacity expansion at Erode and revival of Servalakshmi assets. Market outlook for FY26 remains weak, but softening wood prices could aid future margins.