Cosmo First Limited , a leading global conglomerate in specialty films and chemicals, has announced a significant strategic move by entering into a 50-50 joint venture with Filmax Corporation, a renowned South Korean films and chemical company. This partnership aims to introduce and scale multiple business verticals of Cosmo First in the South Korean market while leveraging Filmax's strong local market presence.

Key Highlights of the Joint Venture

• Equal Partnership: Cosmo First and Filmax Corporation will share an equal 50% stake in the new joint venture, demonstrating a balanced commitment to long-term growth and value creation.

• Market Expansion: The joint venture will focus on the distribution, sale, and marketing of flexible packaging and other products manufactured by both companies in the South Korean market.

• Leveraging Strengths: The partnership combines Cosmo First's cutting-edge technology and global supply chain with Filmax Corporation's robust brand equity and market reach in South Korea.

• Board Representation: Both companies will appoint two directors each to the board of the joint venture company, ensuring equal representation in decision-making.

Strategic Implications

This joint venture marks a significant step for Cosmo First in expanding its global footprint, particularly in the South Korean market. By partnering with a well-established local player, Cosmo First aims to accelerate its market penetration and leverage synergies in product development and distribution.

Financial Context

While specific financial details of the joint venture were not disclosed, it's worth noting Cosmo First's recent financial performance:

The company's strong financial position, with a consolidated EBITDA margin of 14.20% in H1 FY26, suggests it is well-positioned to invest in and support this new joint venture.

Management Commentary

Mr. Ashok Jaipuria, Chairman and Managing Director of Cosmo First, expressed enthusiasm about the collaboration, stating, "This partnership marks an exciting new chapter for Cosmo First. By joining hands with Filmax Corporation, we merge global innovation with South Korean excellence. Together, we are confident of achieving ambitious growth, delivering superior value to customers across the globe, and setting new standards in specialty film solutions."

Mr. Byung Ik Woo, Chairman of Filmax Corporation, added, "Our partnership with Cosmo First is a major step toward not only reinforcing our leadership position in the region but also taking our expertise to the global stage. We look forward to driving this impactful and value-driven association."

Conclusion

This strategic joint venture aligns with Cosmo First's global expansion strategy and its focus on high-value specialty films. As the company continues to innovate and expand its product portfolio, this partnership with Filmax Corporation could potentially open new avenues for growth and strengthen its position in the Asian market.

Investors and industry observers will be keenly watching how this joint venture unfolds and its impact on Cosmo First's future financial performance and market position in the competitive specialty films and chemicals sector.

Cosmo First Limited , a pioneer in the BOPP films industry in India, has reported strong financial results for the first half of fiscal year 2026 (H1 FY26), demonstrating significant growth and strategic expansion across its business segments.

Financial Highlights

Cosmo First reported consolidated net sales of Rs 1,719.00 crores for H1 FY26, marking a substantial 20% increase compared to the previous year. The company achieved an impressive EBITDA margin of 14.2% for the period, showcasing its operational efficiency.

Operational Performance

The films business, which remains Cosmo First's core focus, maintained its emphasis on specialty products. These specialty films comprised 71% of total volume in FY25, growing at a 10% CAGR over the last six years. This strategic focus on high-value products has contributed significantly to the company's robust performance.

Capacity Expansion

Cosmo First commissioned a new BOPP line in June 2025. This expansion has increased the company's capacity by 45% to 277,000 TPA, positioning it strongly to meet growing market demand.

Diversified Business Segments

Cosmo First operates across multiple segments, showcasing its diversified business model:

1. Specialty Films
2. Specialty Chemicals
3. Rigid Packaging
4. Window Films
5. D2C Petcare (Zigly brand)

Specialty Chemicals Business

The specialty chemicals business demonstrated exceptional performance, posting its highest ever EBITDA of Rs 25.00 crores with a topline of Rs 98.00 crores in H1 FY26. This segment's strong showing underscores the company's successful diversification strategy.

Financial Position

As of September 2025, Cosmo First maintains a healthy financial position with a net debt to EBITDA ratio of 2.97 times and a net debt to equity ratio of 0.80 times. These ratios indicate a balanced approach to leverage and financial stability.

Sustainability Initiatives

Cosmo First has made significant strides in its sustainability efforts, achieving 50% renewable energy usage. The company plans to increase this to two-thirds of its total energy consumption in the next 12-18 months, demonstrating its commitment to environmental responsibility.

Management Commentary

Pankaj Poddar, Group CEO of Cosmo First Ltd, commented on the company's performance, stating, "The FY26 focus will be on fully leveraging the investments in newer production lines and faster scaling of new businesses."

Conclusion

Cosmo First's H1 FY26 results reflect a company on a strong growth trajectory, with strategic expansions, diversification, and a focus on high-value products driving its performance. The company's commitment to sustainability and innovation positions it well for continued success in the evolving market landscape.

Investors and stakeholders can look forward to Cosmo First's continued focus on leveraging its new capacities and scaling up its diverse business segments in the coming quarters.