Ester Industries Limited , a prominent player in the Indian manufacturing sector, has recently witnessed a significant internal share transfer within its promoter group. The transaction, executed through a block deal mechanism, involved the transfer of 1,876,000 equity shares from Arvind Singhania to MOVI Limited.

Key Details of the Share Transfer

Impact on Ownership Structure

This internal transfer has been structured in a way that maintains the status quo of the company's ownership. Here are the crucial points to note:

• The overall promoter group shareholding remains unchanged at 62.73%.
• There is no alteration in the aggregate ownership structure of the company.

Significance of the Transaction

This share transfer represents a strategic move within Ester Industries' promoter group. While such internal transfers are not uncommon in corporate structures, they often reflect ongoing efforts to optimize shareholding arrangements or align with long-term business strategies.

It's important to note that this transaction does not impact the company's operations or its public shareholders. The stability in the overall promoter group shareholding suggests a continuity in the controlling interests of Ester Industries Limited.

Investors and market watchers may view this development as a routine corporate action that reinforces the existing ownership dynamics within the company. As always, stakeholders are advised to consider such moves in the broader context of the company's performance and market position.

Ester Industries , a leading manufacturer of polyester films, specialty polymers, and recycled polyester (rPET), has reported a 7% year-on-year increase in consolidated revenue to ₹357.00 crore for the second quarter of fiscal year 2026. However, the company faced significant margin pressures, resulting in a net loss for the quarter.

Financial Highlights

• Consolidated revenue grew by 7% year-on-year to ₹357.00 crore in Q2 FY26
• EBITDA declined by 59% to ₹17.00 crore, with EBITDA margin contracting to 4.85% from 12.71% in Q2 FY25
• The company reported a net loss of ₹16.00 crore, compared to a net profit of ₹3.00 crore in the same quarter last year

Segment Performance

Polyester Chips and Film Segment

• Revenue increased marginally by 2.34% to ₹297.00 crore
• Segment reported an EBIT loss of ₹6.00 crore, compared to a profit of ₹23.00 crore in Q2 FY25
• Capacity utilization improved to 80% from 73% in Q2 FY25
• Sales volume of recycled PET (rPET) grew significantly to 1,046 MT, up 219% year-on-year

Specialty Polymers Segment

• Revenue grew by 39% year-on-year to ₹57.00 crore
• EBIT increased by 45% to ₹21.00 crore, with EBIT margin improving by 146 basis points to 37.03%
• Sales volume increased by 51% year-on-year

Management Commentary

Arvind Singhania, Chairman and CEO of Ester Industries, stated, "Our performance this quarter reflects the challenging market conditions, particularly in the Polyester Film segment. While we achieved volume growth across both segments, profitability was adversely affected due to softer margins in Polyester Films."

He added, "The Specialty Polymer segment continued its strong performance, with sustained demand for our marquee products despite the impact of US Trade Tariffs. Our IP protection has helped maintain both sales volumes and margins in this segment."

Outlook and Initiatives

The company is focusing on strengthening its specialty polymer portfolio and improving operational efficiency. Ester Industries is also advancing its circular economy vision through its joint venture, Ester Loop Infinite Technologies Private Limited (ELITe).

Key developments include:

1. ELITe entering into an agreement to acquire ~90 acres of project land in the PCPIR zone in Surat, Gujarat
2. Securing a multi-year offtake agreement with Nike as the anchor customer for the Infinite Loop India facility
3. Forming a strategic alliance with Hyosung TNC to convert high-purity, fully traceable Twist polyester into premium Regen performance yarns

Challenges and Opportunities

The Polyester Film segment faces pressure from imports and the impact of US Trade Tariffs. However, the company is optimistic about the growing demand for sustainable and recycled products. The significant growth in rPET sales volumes indicates a positive trend in this direction.

Ester Industries remains committed to creating value for shareholders through its focus on specialty products, operational improvements, and sustainability initiatives.

For more detailed financial information, investors are encouraged to review the full quarterly report.

Note: All financial figures are in Indian Rupees (₹).