Cosmo First Limited has incorporated a Joint Venture Company named Filmax Cosmo Korea Limited alongside its partner, Filmax Corporation Korea. This strategic move follows an earlier intimation dated November 12, 2025, regarding the execution of an agreement between the two entities to form a Joint Venture in Korea.

The newly incorporated entity, Filmax Cosmo Korea Limited, is established to undertake the distribution, sale, and marketing of flexible packaging and other products manufactured by both Cosmo First and Filmax Corporation. This partnership aims to leverage the combined manufacturing capabilities of both companies to enhance their market presence in the region.

Capital Structure

The initial equity participation in the Joint Venture Company has been finalized between the two partners. Both Cosmo First and Filmax Corporation have subscribed to the initial paid-up capital in equal proportion.

The disclosure regarding this incorporation was made to the stock exchanges on May 22, 2026, under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Cosmo First Limited has announced its audited financial results for the quarter and year ended March 31, 2026. The company reported a 17% year-on-year increase in net profit to Rs 156 crore for the full year, while revenue from operations grew to Rs 3,639 crore from Rs 2,895 crore in the previous year. The Board of Directors has recommended a final dividend of Rs 4 per equity share for the financial year ended March 31, 2026, subject to shareholder approval.

Annual Financial Performance

For the year ended March 31, 2026, the company achieved an EBITDA of Rs 479 crore, up from Rs 362 crore in FY25, with the EBITDA margin improving to 13.2% from 12.5%. Profit before tax (PBT) for the year stood at Rs 201 crore compared to Rs 163 crore in the prior year. Earnings per share (EPS) increased to Rs 60.3 from Rs 51.5 in the previous year.

Q4 Consolidated Performance

The fourth quarter showed robust growth, with net profit rising to Rs 37 crore from Rs 27 crore in the same period last year. Revenue for the quarter increased to Rs 1,021 crore from Rs 746 crore, driven by a 41% increase in sales volume and improved margins in base BOPP and BOPET films. EBITDA for the quarter climbed to Rs 130 crore from Rs 85 crore, expanding the margin to 12.7% from 11.4%. However, PAT improvement was moderated by exceptional items of Rs 7.2 crore and a one-time reversal of deferred tax assets of Rs 5.3 crore due to subsidiary reorganization in South Korea.

Business Updates and Debt

The Specialty Chemicals subsidiary reported an EBITDA of over 25% in Q4 FY26. Cosmo Plastech posted over 70% topline growth and has nearly reached EBITDA-breakeven. Consumer businesses Zigly and Cosmo Consumer continue to scale, with Zigly recording 54% topline growth in the quarter. Net debt reduced by Rs 55 crore during Q4 FY26 to Rs 1,159 crore, which is 2.4 times the EBITDA. The company plans to reduce net debt further over the next two years.