Garware Hi-Tech Films declared a final dividend of ₹12.00 per equity share for FY26. The payout awaits shareholder approval at the annual general meeting scheduled for September 23, 2026.

The Board of Directors approved the distribution during its meeting on May 6, 2026. Eligible shareholders must be on the register as of the record date, September 16, 2026. Each fully paid-up equity share has a face value of ₹10.

Tax Deduction Guidelines

The company will deduct tax at source (TDS) from dividend payments in accordance with the Income Tax Act, 2025. Resident shareholders with valid PANs registered in their demat accounts will face a TDS rate of 10%. Those without valid PANs or with PANs not linked to Aadhaar will incur a higher deduction rate of 20%.

Resident individuals receiving total dividends up to ₹10,000 in FY27 may avoid TDS by submitting Form 121. Non-resident shareholders face a withholding tax rate of 20%, plus applicable surcharge and cess, unless they provide documentation to claim benefits under Double Tax Avoidance Agreements (DTAA).

Document Submission Deadline

Shareholders seeking lower or nil withholding tax rates must submit relevant certificates and declarations by September 10, 2026, at 7:00 pm. Documents submitted after this cutoff may not be accepted. Shareholders can upload forms via the company’s designated portal or contact the registrar for assistance.

Garware Hi-Tech Films Limited delivered its strongest quarterly performance since inception in Q1 FY27, reporting a 28% year-on-year revenue surge to ₹633 crore and a record EBITDA margin of 30.30%. The specialty film manufacturer posted an EBITDA of ₹192 crore, up 56% from the previous year, while profit after tax (PAT) grew 60% to ₹133 crore. This milestone reflects the company’s successful transition from a manufacturing-led entity to a global technology-driven business, with structural improvements in product mix driving superior profitability.

The results were discussed during an earnings conference call held on August 7, 2026, hosted by Go India Advisors. Deepak Joshi, Director of Sales and Marketing, emphasized that the margin expansion was not due to exceptional items but rather the sustained shift toward high-value specialty products, particularly Sun Control Films and Paint Protection Films (PPF). The company also expressed condolences for the passing of Joint Managing Director Mrs. Sarita Garware Ramsay.

Financial Performance Highlights

Revenue contribution from Sun Control Films rose to approximately 55% of the total, up from 48–50% in the prior year, while PPF contributed around 20%. Industrial products accounted for the remainder. Management noted that raw material price fluctuations had minimal impact on margins, as only 10–12% of costs are directly correlated with crude oil derivatives, thanks to significant backward integration.

Strategic Expansion and New Initiatives

Garware Hi-Tech Films is aggressively expanding its direct-to-consumer (D2C) footprint through Garware Home Solutions, which currently operates nine studios in India. The company aims to scale this network to 50 studios by the end of FY27, targeting homeowners with energy-efficient and aesthetic film solutions. Globally, the firm has established 14 international application studios across the Middle East and the United States, strengthening its brand visibility and customer engagement in key export markets.

On the manufacturing front, the company is progressing with two major capital expenditure projects:

• TPU Project: Expected to commission in Q3 FY27, this backward integration will support the PPF business and enable new TPU-based specialty products. Management estimates this could unlock a market size exceeding ₹1,000 crore over time.
• Sun Control Film Line: An investment of ₹192 crore for a new automated line, expected to commence production in H1 FY28. This facility will add approximately 1,200 lakh square feet of annual capacity, with a peak revenue potential of ₹500–550 crore.

What the Numbers Show

The jump in EBITDA margin to over 30% marks a structural inflection point for Garware Hi-Tech Films, significantly exceeding its long-term guidance range of 25% ± 2%. This achievement underscores the success of its strategy to move away from commoditized products toward high-margin architectural and automotive specialty films. With architectural films now contributing more than 25% of revenue—up from just 5% previously—the company is effectively competing with glass manufacturers by offering superior heat rejection and UV protection solutions. The debt-free balance sheet, bolstered by ₹850 crore in cash, provides ample firepower for these expansions without diluting shareholder value.

Looking ahead, management reaffirmed its FY27 revenue guidance of over ₹2,500 crore and maintained a medium-term revenue CAGR target of 15–20%, aiming for ₹3,500 crore in three to four years. The upcoming commissioning of the TPU line and the new sun control facility is expected to further enhance operational efficiency and margin stability, reinforcing the company’s position as a leader in the global specialty film industry.