Indo Rama Synthetics (India) Limited has successfully concluded its postal ballot process, with shareholders overwhelmingly approving the material related party transaction worth ₹800 crore with TPT Petrochemicals Public Co. Limited, Thailand, for the financial year 2025-26.

Postal Ballot Results

The voting results, declared on December 18, 2025, showed strong shareholder support for the proposed transaction. CS Jaya Yadav of Jaya Yadav Associates served as the scrutinizer for the postal ballot process.

Transaction Overview

The approved transaction represents a significant increase from the previously approved limit of ₹400 crore. The enhanced approval follows a business novation agreement effective July 1, 2025, where Indorama Petrochem Limited (IRPL) novated its entire business to TPT Petrochemicals.

Voting Process Details

The postal ballot was conducted entirely through remote e-voting, with the voting period running from November 18, 2025, at 9:00 AM to December 17, 2025, at 5:00 PM. The company utilized the services of National Securities Depository Limited (NSDL) for the electronic voting platform.

Business Rationale

Indo Rama Synthetics, which manufactures polyester products, requires PTA as a prime raw material. The company stated that this arrangement is necessary to supplement its PTA requirements, which are not adequately available domestically. As of September 30, 2025, related party transactions with TPT stood at ₹235.09 crore.

Regulatory Compliance

The transaction received proper governance oversight, having been reviewed and recommended by the Audit Committee and approved by the Board of Directors. As per SEBI regulations, shareholder approval was mandatory since the transaction exceeds 10% of the annual consolidated turnover. Notably, pursuant to SEBI (LODR) Regulations, 2015, none of the related parties voted on the resolution.

The overwhelming shareholder approval underscores confidence in the company's strategy to secure stable supply of critical raw materials amidst global supply chain challenges.

Indo Rama Synthetics (India) Limited , a leading polyester manufacturer, has reported a significant turnaround in its financial performance for the second quarter. The company's consolidated net profit stood at 246.00 million rupees, marking a substantial improvement from a loss of 441.00 million rupees in the same period last year.

Financial Highlights

• Revenue Growth: The company's revenue grew to 12.22 billion rupees from 9.53 billion rupees year-over-year, representing a 28.23% increase.
• EBITDA Surge: EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) showed a remarkable improvement, reaching 803.80 million rupees compared to 76.10 million rupees in the previous year.
• Margin Expansion: The EBITDA margin expanded significantly to 6.58% from 0.80% in the same quarter last year.

Quarterly Performance Analysis

A closer look at the quarterly financial data reveals:

The company's performance shows a strong recovery, with significant improvements across all key financial metrics.

Half-Yearly Performance

For the first half of FY26, Indo Rama Synthetics has shown consistent growth:

The half-yearly results further underscore the company's improved financial health and operational efficiency.

Operational Improvements

The company's management attributes this turnaround to several factors:

1. Cost Rationalization: Effective measures to optimize operational costs have contributed to improved margins.
2. Market Demand: A recovery in market demand for polyester products has supported revenue growth.
3. Operational Efficiency: Enhanced production efficiency has helped in better utilization of resources.

Future Outlook

While the company has shown impressive growth, it maintains a cautious outlook due to global economic uncertainties. The management remains focused on sustaining operational efficiencies and exploring new market opportunities to maintain this growth trajectory.

Indo Rama Synthetics' strong performance in Q2 reflects its resilience and adaptability in a challenging market environment. As the company continues to focus on strategic growth initiatives, investors and market watchers will be keen to see if this positive momentum can be sustained in the coming quarters.