Andhra Paper Limited declared a final dividend of ₹0.50 per equity share for the financial year ended March 31, 2026, during its 62nd Annual General Meeting (AGM) held on August 11, 2026. The meeting, conducted via video conferencing, also saw the reappointment of Saurabh Bangur as Managing Director and the adoption of the company’s audited financial statements. The declaration provides a clear return to shareholders following the conclusion of the fiscal year, while the leadership continuity ensures stability in management execution.

The proceedings were held in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The meeting commenced at 11:30 A.M. IST and concluded at 01:04 P.M. IST. Shree Kumar Bangur, Chairman of the Board of Directors, presided over the meeting. A quorum was established with 52 members present at the start, rising to 84 participants during the proceedings. The statutory auditor, Mr. Prakash Bhutada of MSKA & Associates LLP, and secretarial auditor, Mr. D. Hanumanta Raju of D. Hanumanta Raju & Co., were present to oversee the process.

Key Resolutions Passed

Shareholders voted on five agenda items, including ordinary and special business resolutions. Remote e-voting and insta-polling facilities were provided in accordance with Ministry of Corporate Affairs and SEBI guidelines.

Saurabh Bangur retires by rotation under Section 152(6) of the Companies Act, 2013. He offered himself for reappointment as a director and separately for the role of Managing Director. Both resolutions required shareholder approval, with the latter classified as a special resolution. The company also ratified the remuneration of its cost auditors.

Meeting Proceedings

The Chairman addressed shareholders on the company’s performance highlights, capital expenditure programs for manufacturing modernization, and future outlook. Eighteen shareholders raised questions regarding the annual report and company functioning, which were addressed by Chairman Shree Kumar Bangur and Managing Director Saurabh Bangur. The Company Secretary, Bijay Kumar Sanku, confirmed that the audit reports contained no qualifications or adverse remarks. The e-voting module remained open for 15 minutes post-meeting to allow additional voting before formal closure.

Andhra Paper reported a 42.25% year-on-year increase in net profit to ₹3,031.57 lakh for the quarter ended June 30, 2026 (Q1FY27), driven by a significant expansion in EBITDA margins to 12.39% from 8.54% in the prior-year period. Revenue from operations remained stable at ₹39,377.13 lakh, compared to ₹39,342.06 lakh in Q1FY26, while operational efficiency gains offset partial production losses at its Kadiyam unit due to labor unrest. The resilience of profitability amidst operational disruptions highlights improved cost management efficiency, offering positive signals for shareholder value despite temporary capacity constraints.

Financial Performance

The Board of Directors, meeting on August 4, 2026, approved the unaudited financial results for Q1FY27. The statutory auditors, M/s. MSKA & Associates LLP, issued an unmodified limited review report on the results pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

*EBITDA derived from disclosed margin expansion of 12.39% applied to revenue.

Revenue from operations stood at ₹39,377.13 lakh, a marginal increase of 0.09% over ₹39,342.06 lakh in Q1FY26. Total income rose to ₹41,542.62 lakh from ₹42,064.68 lakh, primarily due to lower other income of ₹2,165.49 lakh compared to ₹2,722.62 lakh in the previous year.

Profit before tax increased significantly to ₹4,054.56 lakh from ₹2,916.91 lakh. Total expenses decreased to ₹37,488.06 lakh from ₹39,147.77 lakh, driven by a reduction in cost of materials consumed to ₹24,486.15 lakh from ₹27,582.45 lakh, and lower finance costs of ₹290.00 lakh versus ₹575.69 lakh.

Operational Update

Operations at the Company’s Kadiyam Unit were temporarily suspended from April 27, 2026, following an illegal strike by contract workmen. A lockout declared on May 1, 2026, was revoked on May 29, 2026. Manufacturing operations partially resumed on July 15, 2026, with the unit currently operating at approximately 93% of normal capacity. Management continues to take measures to restore full operations.

What the Numbers Show

Despite operating below full capacity for part of the quarter, Andhra Paper achieved substantial margin expansion. The decline in material costs and finance charges contributed to a higher profit before tax even as revenue remained flat. The resilience of profitability amidst operational disruptions highlights improved cost management efficiency.