Stylam Industries Limited has filed its Annual Report for the Financial Year 2025-26, disclosing robust financial performance alongside significant operational milestones, a major ownership transition, and an expanded product portfolio. The report was submitted to BSE Limited and the National Stock Exchange of India Limited on August 4, 2026, pursuant to Regulation 34(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance: FY2025-26 vs FY2024-25

The company delivered a 10% year-on-year increase in standalone revenue from operations, reaching ₹1,129 crore in FY2025-26 compared to ₹1,025 crore in FY2024-25. EBITDA improved to ₹221 crore with the margin expanding from 18% in FY2024-25 to 20% in FY2025-26, reflecting a stronger product mix, enhanced operational efficiency, and prudent cost management.

The following table summarises the key standalone financial metrics:

On a standalone basis, revenue from operations stood at ₹1,12,929 Lakhs against ₹1,02,509 Lakhs in the previous year, while profit after tax was ₹14,947 Lakhs compared to ₹12,183 Lakhs. The Board of Directors has decided not to recommend any dividend for FY2025-26, opting to plough back earnings for business growth.

Key Financial Ratios

The following table presents selected standalone financial ratios for FY2025-26 and FY2024-25:

Operational Highlights and Product Innovation

FY2025-26 marked the company's highest-ever laminate production in both volume and quantity. The introduction of a new laminate size of 1600x3660 mm facilitated entry into key international markets including the US, Russia, and Ukraine. New product launches during the year included:

• Anti-Mar Laminates with enhanced micro-scratch resistance
• Magnetic Laminates with improved finish and magnetic performance
• Ping-Pong Table Laminate Panels for the specialty product portfolio

The company also established a dedicated Process Engineering Division, accelerated automation in material handling through advanced pick-and-place systems, and advanced lean manufacturing practices including 5S, Kaizen, Poka-Yoke, and Statistical Process Control (SPC). The laminates division achieved 74% capacity utilisation.

Export Performance and Foreign Exchange

Exports remained a key growth driver, with the FOB value of exports rising to ₹803 crore in FY2025-26 from ₹696 crore in FY2024-25. Exports contributed 73.60% of total turnover. The company serves customers across more than 80 countries.

Capacity Expansion and Greenfield Facility

The commissioning of the new greenfield manufacturing facility at Manak Tabra, Panchkula (Haryana) represents a defining step in the company's next phase of growth. The total investment in this facility is approximately ₹334 crore. Capital Work in Progress as at March 31, 2026 stood at ₹22,144.51 Lakhs. The new facility incorporates modern press and impregnator operations, high-efficiency hot water generators, Bus-Bar Trunking systems, and PNG-fired dryers, with all impregnators converted from coal-fired thermal oil heaters to PNG — a first among laminate manufacturers in India.

Ownership Transition: AICA Kogyo Open Offer

A significant corporate development during the year was the completion of an open offer by AICA Kogyo Company Limited. Pursuant to Share Purchase Agreements and a Shareholders' Agreement dated December 26, 2025, AICA Kogyo made an open offer for acquisition of up to 44,06,496 fully paid-up equity shares of face value of ₹5/- each, representing 26% of the voting share capital. The open offer was successfully completed on May 13, 2026, after which AICA Kogyo's shareholding increased from 45,96,868 equity shares (representing 27.12% of the voting share capital) to 50,62,984 equity shares (representing 29.87% of the voting share capital).

Board Reconstitution and Governance

The Board underwent significant reconstitution during FY2025-26. Several directors resigned effective February 13, 2026 and February 18, 2026, while new directors were appointed. Subsequently, effective June 17, 2026, multiple nominees of AICA Kogyo Company Limited joined the Board, including Mr. Naruhiro Amada as Whole-time Director and Mr. Kenji Ebihara, Mr. Nobuyuki Omura, Mr. Yuji Iwatsuka, Mr. Koshi Suzuki, Mr. Makoto Tanaka, and Mr. Adisak Thiaphairat as Non-Executive Directors. As at March 31, 2026, the Board comprised 7 members. During FY2025-26, nine Board meetings were held. CARE Rating Limited revised the company's credit rating, with long-term facilities continuing to carry CARE A+ (RWD) and short-term facilities carrying CARE A1 (RWD), both on Rating Watch with Developing Implications.

CSR and Sustainability

The company's CSR expenditure for FY2025-26 stood at ₹3.45 crore (₹345.29 Lakhs), against a total CSR obligation of ₹314.65 Lakhs, resulting in an excess spend of ₹30.64 Lakhs. CSR initiatives covered eradicating hunger and poverty, education, welfare of cows, healthcare, apprenticeship training under the National Apprenticeship Promotion Scheme (NAPS), promoting sports, and rural development. On the environmental front, the company operates a Zero Liquid Discharge (ZLD) system and achieved a reduction in specific power consumption to 232 kWh per MT of laminate produced and specific coal consumption to 342 kg per MT of laminate produced in FY2025-26. The company also plans to install a 3.5 MW solar power plant. As at March 31, 2026, the company had 1,242 permanent employees on its rolls.

Stylam Industries Limited submitted its Business Responsibility and Sustainability Report (BRSR) for the financial year 2025-26 to the Bombay Stock Exchange and the National Stock Exchange of India on August 04, 2026. The filing, mandated under Regulation 34(2)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, provides stakeholders with a comprehensive overview of the company’s environmental, social, and governance performance. For investors, the report underscores the firm’s heavy reliance on international markets, with exports contributing 73.60% of total turnover, while confirming robust compliance with safety and human rights standards across its operations.

The report covers the period from April 01, 2025, to March 31, 2026, and is prepared on a standalone basis. Dhiraj Kheriwal, Company Secretary & Compliance Officer, signed the document, which forms an integral part of the Annual Report for FY26. The company reported a turnover of ₹11,360,299,946 and a net worth of ₹8,067,977,222, making Corporate Social Responsibility (CSR) applicable under Section 135 of the Companies Act, 2013.

Operational and Market Overview

Stylam Industries operates two manufacturing plants and eight offices across India, serving customers in 28 states. Its primary business activity involves the manufacturing of laminates and allied products, which accounted for 99.41% of its turnover. The company’s diverse customer base includes stockists, distributors, OEMs, architects, and institutional clients. Notably, the company does not have international offices, relying entirely on domestic infrastructure to support its significant export volume.

Governance and Related Party Transactions

The BRSR disclosure reveals minimal exposure to related-party transactions (RPTs). Purchases from related parties amounted to ₹33,40,156 against total purchases of ₹6,040,808,622, representing 0% of total purchases. Similarly, sales to related parties were ₹2,71,677 against total sales of ₹11,292,939,289, also constituting 0.00% of total sales. Investments in related parties stood at ₹10,000,000, which was 100% of total investments made, indicating a focused capital allocation strategy within the group structure, specifically towards its subsidiary, Stylam Panel Limited.

Environmental and Social Metrics

The company reported zero lost-time injury frequency rates (LTIFR) and zero fatalities for both employees and workers in FY26, maintaining a strong safety record aligned with its ISO 45001:2018 certification. Water withdrawal increased slightly to 2,32,155 kiloliters from 2,31,320 kiloliters in FY25, primarily sourced from groundwater. Total waste generated rose to 17.45 metric tonnes from 9.04 metric tonnes in the previous year, comprising 12.61 metric tonnes of plastic waste and 4.84 metric tonnes of other hazardous waste. The company aims to achieve Zero Liquid Discharge (ZLD) status at all feasible manufacturing units but has not yet implemented the mechanism fully.

Human Capital and Compliance

As of the end of FY26, Stylam employed 514 permanent employees, including 10 women (2% of the workforce), and 728 permanent workers. The board comprises nine directors, with two women representing 22.2% of the board. The company spent ₹27,770,864 on employee well-being measures, amounting to 0.25% of total revenue. No complaints were recorded regarding sexual harassment, discrimination, or child labor. The company confirmed that its premises are accessible to differently abled individuals as per the Rights of Persons with Disabilities Act, 2016.