Navneet Education Limited (NSE: NAVNETEDUL), a leading educational content provider and stationery manufacturer, has announced an interim dividend of ₹1.50 per share for the financial year 2025-26, despite facing challenges in its quarterly performance.

Financial Performance

For the quarter ended September 30, 2025, Navneet Education reported:

The company's revenue declined by 9.22% year-over-year to ₹246.00 crore, down from ₹271.00 crore in the same quarter last year. This decrease was primarily attributed to lower realization in the stationery segment due to reduced paper prices, despite growth in volumes.

Segment Performance

Publishing Content

The publication segment showed resilience, growing by 12.35% from ₹81.00 crore to ₹91.00 crore. This growth was driven by minor changes in the lower grade curriculum, signaling the start of a new curriculum change cycle.

Stationery Products

The stationery segment faced challenges:

• Domestic stationery business remained flat compared to Q2 FY25.
• Export stationery segment declined by 22% due to challenging global market conditions, particularly impacted by tariffs imposed by the US.

Profitability

Navneet Education's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) declined to ₹10.00 crore from ₹20.00 crore in the previous year, with the EBITDA margin contracting to 4.07% from 7.38%.

The company's net loss widened to ₹150.00 crore, compared to a loss of ₹50.00 crore in the same period last year. This significant increase in losses was primarily attributed to the decline in revenue, particularly in the export stationery segment.

Dividend Announcement

Despite the challenging quarter, Navneet Education's Board of Directors has declared an interim dividend of ₹1.50 per equity share (75%) for the financial year 2025-26. The record date for determining eligible shareholders is set for Tuesday, November 18, 2025, with the dividend to be paid on or before December 9, 2025.

Management Commentary

Mr. Gnanesh D. Gala, Managing Director of Navneet Education, commented on the results: "The curriculum change cycle has started, and we foresee that the curriculum of the higher grades will start to change gradually, giving the much-anticipated momentum to our publication business. We are working on newer products to mitigate risks in our export business and aim to strengthen our presence through innovation and adaptation to changing market conditions."

Future Outlook

Navneet Education remains focused on:

1. Capitalizing on the upcoming curriculum changes in higher grades.
2. Developing new products to mitigate risks in the export stationery segment.
3. Strengthening its core business of publishing integrated with technology offerings.
4. Introducing new categories of products in the stationery segment.

As the company navigates through these challenging times, it aims to drive sustainable growth and deliver greater value to its stakeholders through innovation and strategic adaptations to market dynamics.

Navneet Education Limited , a well-known name in the education sector, has announced a significant expansion of its manufacturing capabilities. The company has established a new manufacturing facility in Village Paria, Taluka Pardi, District Valsad, Gujarat, focusing on the production of plastic products.

New Facility Details

The new manufacturing unit is set to produce a range of plastic items, including:

• Plastic moulding items
• Extrusion films and rolls
• Blown films and rolls

This expansion marks Navneet Education's entry into plastic product manufacturing, potentially diversifying its product portfolio beyond traditional educational materials.

Regulatory Compliance

In a filing to the stock exchanges, Navneet Education Limited confirmed that it has obtained the necessary factory license for production at this new facility. This regulatory compliance ensures that the company can commence operations at the new unit without delay.

Location and Infrastructure

The new manufacturing facility is strategically located in Gujarat, a state known for its industrial infrastructure and business-friendly policies. The exact location details are as follows:

Potential Impact

While the company has not disclosed specific details about production capacity or investment in the new facility, this expansion could have several implications:

1. Product Diversification: The move into plastic product manufacturing suggests a strategy to diversify beyond traditional paper-based educational materials.
2. Vertical Integration: By producing plastic items in-house, Navneet Education may aim to control costs and quality for certain product components.
3. New Revenue Streams: The facility's output could potentially serve both internal needs and external markets, opening up new revenue opportunities.

Market Response

As of now, the market's response to this development remains to be seen. Investors and analysts will likely watch closely to understand how this new manufacturing capability fits into Navneet Education's overall business strategy and its potential impact on the company's financial performance.

This expansion represents a significant step in Navneet Education Limited's manufacturing capabilities. As the facility begins operations, more details about its impact on the company's product line and financial performance may emerge in future reports and announcements.