Greenlam Industries Ltd. , a prominent player in the decorative surfaces industry, has been hit with a significant financial demand from the Office of Commissioner of Customs, Custom House, Kandla. The company is facing a total demand of ₹211.5 million, comprising duties and penalties related to imports under advance authorization.

Breakdown of the Demand

The order, received by Greenlam Industries on July 11, 2025, outlines the following components:

Nature of the Dispute

The customs authority's action stems from a dispute regarding:

1. Anti-dumping duty on base paper
2. Exemption on IGST (Integrated Goods and Services Tax) payable for imports made under advance authorization

Company's Response

Greenlam Industries has stated that it is currently reviewing the order and evaluating appropriate legal recourse. The company has a three-month window from the receipt of the order to file an appeal, which it intends to do within the permitted timeline.

Potential Impact

Despite the substantial amount involved, Greenlam Industries appears optimistic about the outcome. In its communication to the stock exchanges, the company expressed:

"The Company is hopeful of a favourable outcome thereof at appellate authority level and therefore does not expect the said order to have any material impact on the financials or operations of the Company."

Regulatory Compliance

This disclosure was made by Greenlam Industries in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, underscoring the company's commitment to transparency in its dealings with regulatory matters.

As the situation unfolds, stakeholders will be keenly watching how Greenlam Industries navigates this regulatory challenge and its potential implications on the company's financial position.

Greenlam Industries , a leading manufacturer of decorative laminates and allied products, has released its financial results for the fourth quarter, revealing a mixed performance with increased revenue but reduced profitability.

Revenue Growth

The company reported a notable increase in its Q4 revenue, which rose to ₹6.80 billion from ₹6.24 billion in the same period last year, marking a year-over-year growth of approximately 9%.

Profitability Challenges

Despite the revenue growth, Greenlam Industries faced significant challenges in maintaining its profit margins:

• EBITDA Performance: The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for Q4 stood at ₹640.00 million, down from ₹835.40 million in the previous year, representing a decline of about 23.4%.

• EBITDA Margin: The EBITDA margin saw a substantial decrease, falling to 9.38% from 13.39% year-over-year, indicating increased pressure on operational efficiency.

• Net Profit: Consolidated net profit for Q4 was ₹21.00 million, a sharp decline from ₹410.00 million in the same quarter last year. However, it's worth noting that this figure shows an improvement from the ₹127.00 million reported in the previous quarter.

Financial Performance Overview

To better illustrate Greenlam Industries' Q4 performance, here's a summary of the key financial metrics:

The financial results suggest that while Greenlam Industries has managed to grow its top line, the company is grappling with significant margin pressures and profitability challenges. The substantial decline in net profit, despite revenue growth, indicates increased costs or other factors affecting the company's bottom line.

Investors and analysts will likely be keen to understand the factors behind the margin compression and the company's strategies to improve profitability in the coming quarters while maintaining its revenue growth momentum.