Kuantum Papers Limited — PPTs, 27-05-2026: Investor Presentation

Kuantum Papers faced headwinds in FY26, with operational income slightly dipping to INR 1,093.2 Cr (-1.2% YoY) and net profit significantly down to INR 42 Cr (-63.5% YoY). This was primarily due to lower Net Sales Realization and increased costs, influenced by cheaper imports and Nil GST on notebooks. However, Q4 FY26 showed sequential strength: operational income rose 3.9% to INR 300.9 Cr, and net profit jumped 45.9% to INR 14.3 Cr, boosted by improved NSR despite higher raw material costs.

The company is strategically focused on boosting production capacity by ~50% via plant upgrades, leveraging the single-use plastic ban with new specialty products, and implementing Industry 4.0 for operational efficiency.

Key recent updates include the completion of Paper Machine 2 rebuild (now 75 TPD), installation of a high-efficiency Syncro Sheeter, and the upcoming mid-June commissioning of the Displacement Digester System (DDS) for wood pulping, expected to deliver higher yield and lower costs. Project Nirmaan, an AI-based initiative, is optimizing PM4's output. Kuantum also expanded its Social Farm Forestry by 854 acres in Q4 FY26, reaching over 18,300 acres.

FY26 Diluted EPS was INR 4.81. The company plans to expand its sustainable wood sourcing to 75,000 acres by 2030.