Flair Writing Industries Reports Full Utilization of IPO Proceeds, New Valsad Unit Nears Completion

Flair Writing Industries Limited , a leading player in the writing instruments industry, has reported significant progress in utilizing its Initial Public Offer (IPO) proceeds for the quarter ended September 30, 2025. The company's monitoring agency report, issued by ICRA Limited, confirms that there has been no deviation from the stated objectives of the issue.

IPO Proceeds Utilization

Flair Writing Industries raised net proceeds of INR 273.04 crore from its November 2023 IPO. As of September 30, 2025, the company has utilized INR 245.71 crore, representing about 90% of the total proceeds. The funds have been deployed across various objectives as follows:

Objective	Amount Utilized (INR Crore)	Status
Setting up new Valsad unit	28.67	In progress
Funding capital expenditure	86.75	Completed
Working capital requirements	77.00	Fully utilized
Debt repayment	43.00	Fully utilized
General corporate purposes	10.30	Fully utilized

Ongoing Projects and Investments

The new Valsad unit setup remains in progress and is on track with the original timeline of FY25-FY26. This expansion is expected to increase the company's production capabilities and support its growth aspirations.

The capital expenditure for the company and its subsidiary was completed in Q2 FY2026, indicating that Flair Writing Industries is actively investing in its infrastructure and capabilities.

Unutilized Funds

The remaining INR 27.32 crore of the IPO proceeds has been temporarily deployed in fixed deposits with Axis Bank, earning returns between 4.00% to 7.40%.

Compliance and Transparency

ICRA Limited, the appointed monitoring agency, has confirmed that there has been no deviation from the stated objects of the issue. This adherence to the planned utilization demonstrates Flair Writing Industries' commitment to transparency and responsible financial management.

The company's proactive disclosure of the IPO proceeds utilization aligns with regulatory requirements and provides investors with clear insights into how their funds are being deployed to drive growth and enhance operational capabilities.

As Flair Writing Industries continues to execute its expansion plans, particularly with the ongoing development of the new Valsad unit, investors can expect further updates on the company's progress in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.63%	-2.41%	-5.34%	+9.27%	+3.07%	-34.90%

Flair Writing Industries Limited , a leading player in the writing instruments industry, has reported a strong financial performance for the second quarter of fiscal year 2026. The company's results showcase significant growth across key metrics, with notable expansion in its creative and steel bottles segments.

Financial Highlights

Metric (₹ in Crores)	Q2 FY26	Q2 FY25	Y-o-Y Growth
Revenue from Operations	320.90	270.10	18.80%
EBITDA	60.30	50.60	19.20%
Profit After Tax	42.70	32.80	30.40%

The company's consolidated revenue from operations grew by 18.80% year-on-year to ₹320.90 crores in Q2 FY26. This growth was accompanied by a robust 30.40% increase in profit after tax, which reached ₹42.70 crores for the quarter.

Segment Performance

Flair Writing Industries witnessed exceptional growth in its diversified business segments:

Creative Business: Achieved a stellar 70% year-on-year growth, reaching ₹70 crores in Q2 FY26.
Steel Bottles & Houseware: More than doubled its revenue year-on-year, contributing ₹26 crores to the quarter's turnover.
Pen Segment: Showed stable growth, primarily driven by Own Brand sales.

Operational Highlights

Total Own Brand Sales registered a strong 20% year-on-year growth, reaching ₹291 crores in Q2 FY26.
The company launched 36 new products across various segments during the quarter, including 17 new pens and 14 new products in the creative range.
Export markets showed healthy pickup, with Export Own Brand Sales growing by 32% year-on-year.

Strategic Developments

The construction of the New Valsad facility remains on schedule, with full operations set to commence in Q4, which is expected to further strengthen the company's production capabilities.
Flair continues to focus on product innovation, brand building, and operational excellence, which has resulted in robust top-line expansion and improved profitability.

Management Commentary

Mr. Vimalchand Rathod, Managing Director of Flair Writing Industries Limited, commented on the results: "We are delighted to report another remarkable quarterly performance, reflecting the growing strength and desirability of our products across India and in the International markets. Our continued focus on product innovation, brand building, and operational excellence has resulted in robust top-line expansion with sustained transformation initiatives enabling further improvement in profitability."

He further added, "A very notable development over the first half of this financial year has been the aggressive scale-up of our creative business – an outcome of our persistent efforts towards portfolio expansion and enhancing distribution depth."

Future Outlook

The company remains optimistic about its growth trajectory, citing the following factors:

Healthy domestic demand across writing instruments and stationery portfolio.
Strong performance in export markets, indicating renewed appreciation for high-quality Indian writing instruments.
Ongoing capex program in Valsad, which is expected to enhance operational capabilities.
Focus on novelty, scalable operations, and brand equity to fuel long-term growth.

Flair Writing Industries Limited continues to strengthen its leadership position in the industry, with a clear strategy to capitalize on both domestic and international market opportunities.