Three M Paper Boards reported a revenue increase of 11.9% to ₹2,971.86 crore for FY26, driven by higher volumes in domestic and export markets. However, net profit declined 28.3% to ₹71.70 crore as rising input costs and depreciation weighed on margins.

The Chiplun-based manufacturer filed its annual report and notice for the 37th Annual General Meeting (AGM), scheduled for September 29, 2026. The meeting will address the reappointment of Managing Director Rushabh Hitendra Shah and ratification of cost auditor remuneration.

Financial Performance

Revenue from operations grew to ₹2,971.86 crore in FY26 from ₹2,655.34 crore in FY25. Domestic sales accounted for approximately 80% of total revenue, while exports contributed the remaining 20%. EBITDA contracted 15.3% to ₹210.99 crore, reflecting the impact of volatile waste paper prices and energy costs.

Profit before tax fell to ₹64.61 crore from ₹120.58 crore. Depreciation expenses rose to ₹80.43 crore from ₹66.75 crore, partly due to capital expenditures undertaken during the year. Finance costs increased slightly to ₹65.94 crore.

What the Numbers Show

The divergence between top-line growth and bottom-line contraction highlights operational headwinds. While revenue expanded nearly 12%, EBITDA margins compressed from 9.4% in FY25 to 7.1% in FY26. This margin erosion occurred despite an 11.9% rise in sales, indicating that cost inflation in raw materials and energy outpaced pricing power or volume efficiencies during the period.

Operational Updates

Production volumes reached 76,983 metric tonnes, up from 73,043 metric tonnes in the previous year. Installed capacity was enhanced from 72,000 MT to 1,08,000 MT per annum. The company commissioned an RDF/MSW boiler to substitute fossil fuels with segregated non-recyclable plastic waste, aiming to improve energy efficiency.

Corporate Governance

The Board did not recommend a dividend for FY26, citing requirements for working capital and capital expenditure. Shareholding remained stable with no changes in authorized capital. Promoter holding stood at 47.49% for Hitendra Dhanji Shah. The AGM will be conducted via video conferencing, with remote e-voting open from September 26 to September 28, 2026.

Three M Paper Boards Limited has scheduled a board meeting for September 5, 2026, to consider the annual results and other statutory matters for the fiscal year ended March 31, 2026.

The company informed the Bombay Stock Exchange that the Board of Directors will convene at 2:00 pm on Saturday. The primary agenda includes the approval of the Directors' Report and the Secretarial Audit Report along with its annexure for FY26.

Key Agenda Items

The board is set to finalize the draft notice for the Annual General Meeting (AGM), including decisions on the date, time, and venue. The cut-off date for determining shareholder eligibility for remote e-voting is fixed as September 18, 2026.

National Depository Services Limited (NDSL) has been appointed as the service provider for conducting e-voting during the upcoming AGM. Additionally, Hemali Shah and Associates, Company Secretaries, have been named as the Scrutinizer to oversee the voting process.

Director Re-appointment

The meeting will also consider the re-appointment of Mr. Rushabh Hitendra Shah (DIN 01874177) as a director. He retires by rotation but is eligible and has offered himself for re-appointment, subject to shareholder approval at the ensuing AGM.

The board will also appoint a Cost Auditor for the year 2026-27 and address any other business with the permission of the chair.