Ester Industries Limited , a leading manufacturer of polyester chips and specialty polymers, has reported its financial results for the second quarter and half-year ended September 30, 2025. The company's performance shows a mixed picture with declining revenue but maintained profitability.

Key Financial Highlights

• Consolidated Revenue: The company's consolidated revenue from operations for Q2 FY26 stood at ₹354.19 crore, down from ₹338.20 crore in Q1 FY26 and up from ₹331.16 crore in Q2 FY25.
• Net Loss: Ester Industries reported a consolidated net loss of ₹15.78 crore for Q2 FY26, compared to a net loss of ₹7.16 crore in Q1 FY26 and a net profit of ₹3.02 crore in Q2 FY25.
• EBITDA: The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for Q2 FY26 was ₹18.07 crore, down from ₹29.16 crore in Q1 FY26.

Segment Performance

The polyester chips and film segment saw a slight increase in revenue, while the specialty polymers segment showed significant growth compared to both the previous quarter and the same quarter last year.

Fund Utilization Update

Ester Industries reported no utilization of proceeds during the quarter ended September 30, 2025, from its ₹174.99 crore preferential issue of convertible warrants. As of the end of Q2 FY26:

• ₹89.24 crore is still pending receipt from warrant holders.
• ₹16.80 crore was utilized at the beginning of the quarter for investment in the joint venture company Ester Loop Infinite Technologies.
• ₹15 crore allocated for general corporate purposes remains unused.

Management Commentary

Arvind Singhania, Chairman & CEO of Ester Industries Limited, commented on the results, stating, "While we face challenges in the current market environment, our focus remains on operational efficiency and strategic investments. The specialty polymers segment's growth is encouraging, and we continue to explore opportunities to strengthen our market position."

Outlook

Despite the current headwinds, Ester Industries maintains a cautious optimism for the future. The company's investment in its joint venture, Ester Loop Infinite Technologies, signals its commitment to long-term growth strategies. However, the unused funds from the preferential issue indicate a prudent approach to capital allocation in the current economic climate.

Investors and stakeholders will be watching closely to see how Ester Industries navigates the challenging market conditions and utilizes its available funds to drive growth in the coming quarters.

Ester Industries Limited (NSE: ESTER) has announced a significant partnership that positions the company at the forefront of sustainable materials supply in the global athletic wear market. Through its joint venture with Loop Industries, Ester Industries is set to provide eco-friendly materials to Nike, the world's leading athletic footwear and apparel company.

Key Highlights of the Agreement

• Ester Loop Infinite Technologies Private Limited (ELITe), a joint venture between Ester Industries and Loop Industries, will supply sustainable materials to Nike.
• The agreement is part of a multi-year offtake arrangement, securing a long-term partnership.
• Nike will be the anchor customer for the Infinite Loop™ India manufacturing facility.
• The facility will produce Twist™, Loop's branded virgin-quality polyester resin made exclusively from textile waste.

Environmental Impact and Traceability

The partnership is expected to yield significant environmental benefits:

• The Infinite Loop™ India facility is projected to achieve an 81% reduction in greenhouse gas emissions.
• Annual savings of up to 418,600 tonnes of CO₂ emissions are anticipated.
• All products made with Twist™ will feature full traceability through Loop's proprietary chemical tracer technology.

Strategic Implications

This agreement marks a pivotal moment for Ester Industries, highlighting its commitment to sustainability and innovation in the textile industry. Mr. Arvind Singhania, Chairman of Ester Industries Limited, expressed pride in the partnership, stating, "It is a privilege to partner with Nike in advancing their global sustainability ambitions. This partnership reflects the trust and confidence leading multinational brands place in ELITe's ability to deliver verifiable, high-performance recycled materials at scale."

Market Position and Future Outlook

The collaboration with Nike, a global leader in athletic wear, positions Ester Industries strategically in the growing market for sustainable materials. This move aligns with the increasing demand for eco-friendly products in the fashion and sportswear industries.

As the world shifts towards more sustainable practices, Ester Industries' partnership with Loop Industries and Nike could potentially open doors to similar collaborations with other major brands, further solidifying its position in the eco-friendly materials market.

Conclusion

Ester Industries' latest venture represents a significant step towards circular economy practices in the textile industry. By partnering with global giants like Nike and innovative companies like Loop Industries, Ester is not only contributing to environmental sustainability but also potentially enhancing its market position and long-term growth prospects in the evolving landscape of eco-friendly materials.