News Earnings Fiberweb India Reports Strong Q3FY26 Performance, Secures Major Funding for Biodegradable ExpansionFiberweb India Reports Strong Q3FY26 Performance, Secures Major Funding for Biodegradable Expansion
Fiberweb (India) Limited reported strong Q3FY26 results with gross sales of Rs 25.90 crores and PBT of Rs 4.15 crores, benefiting from successful global diversification strategy. The company has secured Rs 135 crores funding from State Bank of India and Rs 3.80 crores from Bank of Baroda for a Rs 168 crore expansion into biodegradable nonwoven fabrics. The expansion is expected to triple revenue to Rs 350 crores and improve EBITDA margins from 16% to 30% at full capacity.
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Fiberweb (India) Limited has announced its unaudited financial results for the third quarter and nine months ended 31st December, 2025, showcasing strong operational performance and significant strategic developments. The spunbond nonwoven fabrics manufacturer reported robust quarterly results while securing substantial funding for a major expansion project focused on biodegradable products.
Strong Q3FY26 Financial Performance
The company delivered impressive results for Q3FY26, achieving gross sales of Rs 25.90 crores and profit before tax of Rs 4.15 crores. This performance represents a significant improvement over the previous quarter ended 30th September, 2025, demonstrating the effectiveness of the company's strategic initiatives.
| Financial Metric | Q3FY26 (Rs in Lakhs) | Q2FY26 (Rs in Lakhs) | Q3FY25 (Rs in Lakhs) |
|---|---|---|---|
| Net Sales | 2,566.21 | 2,026.01 | 2,518.35 |
| Net Profit | 392.72 | 255.06 | 355.03 |
| Earnings Per Share (Basic) | 1.36 | 0.89 | 1.23 |
| Earnings Per Share (Diluted) | 1.36 | 0.89 | 1.23 |
For the nine months ended 31st December, 2025, the company reported net sales of Rs 7,484.11 lakhs compared to Rs 7,453.08 lakhs in the corresponding period of the previous year, with net profit reaching Rs 1,153.63 lakhs against Rs 999.00 lakhs in the previous year.
Global Diversification Strategy Yields Results
The company's marketing strategy to diversify globally since 2019 has successfully created a worldwide customer base, effectively hedging against adverse impacts from US tariff impositions. Sales to countries other than the US, including Norway, Poland, Ireland, Australia, Trinidad and Tobago, New Zealand, France, and Canada, have solidified, contributing to the improved quarterly performance.
Major Expansion Project and Funding
Fiberweb has commenced an ambitious expansion project to produce biodegradable nonwoven fabrics and products. The company has secured comprehensive funding for this strategic initiative:
| Funding Source | Details |
|---|---|
| State Bank of India Term Loan | Rs 115.00 crores |
| State Bank of India Working Capital | Rs 20.00 crores |
| Bank of Baroda Term Loan | Rs 3.80 crores |
| Total Project Cost | Rs 168 crores |
| Balance Funding | Equity and internal accruals |
The expansion into sustainable and eco-friendly nonwovens aligns with the company's corporate mission of being socially conscious and environmentally responsible. This strategic move positions the company in a product space expected to remain relevant for decades.
Projected Growth and Margins
Once the expansion is complete, the company expects significant growth in its financial metrics:
- Revenue Growth: Top line projected to increase from Rs 100 crores to approximately Rs 350 crores at 80% capacity utilization on an annualized basis
- Margin Improvement: EBITDA margin expected to improve from 16% to approximately 30%
Leadership Changes
The Board approved the extension of Mr. Mukesh Pandya's tenure as Chief Financial Officer until 30th April, 2026. Mr. Pandya had initially tendered his resignation on 14th November, 2025, with his last working day scheduled for 31st January, 2026, but subsequently requested an extension to ensure continuity of operations.
Regulatory Compliance
The unaudited financial results were reviewed by the audit committee and approved by the Board of Directors in their meeting held on 30th January, 2026. The company's auditors, M/s. Akshay Kirtikumar & Associates LLP, Chartered Accountants, have issued a Limited Review Report for the standalone financial statements prepared under the Companies Act, 2013 and listing regulations for the quarter and nine months ended 31st December, 2025.
Historical Stock Returns for Fiberweb
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +9.21% | +34.83% | +17.06% | -10.98% | -4.03% | -11.55% |
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