Greenpanel Industries Limited , a leading wood panel manufacturer, has announced significant management changes and received updated credit ratings, signaling a period of transition and stability for the company.

New Chief Information Officer Appointed

The company has appointed Vineet Bansal as its new Chief Information Officer (CIO), effective August 8, 2025. Bansal, who brings 29 years of experience in digital transformation and IT governance, will replace Jayanta Bhowmik, who resigned from the position citing better career opportunities.

Bansal's appointment, approved by the Board of Directors on July 30, 2025, comes with an impressive track record. His expertise spans areas such as ERP implementations, AI, cybersecurity, and infrastructure optimization. Prior to joining Greenpanel Industries, Bansal held positions at notable companies including Surya Roshni Ltd., Greenply, and Mankind Pharma.

Credit Ratings Reaffirmed

In a separate development, ICRA Limited has reaffirmed and assigned credit ratings for Greenpanel Industries' bank facilities:

The reaffirmation of the short-term rating at [ICRA]A1+ indicates a strong degree of safety regarding timely payment of financial obligations. However, the revision of the long-term rating outlook to 'Negative' from 'Stable' suggests some concerns about the company's credit profile.

Annual General Meeting Highlights

Greenpanel Industries held its 8th Annual General Meeting on August 6, 2025, where shareholders approved key resolutions:

1. Adoption of the audited financial statements for the fiscal year ended March 31, 2025.
2. Confirmation of an interim dividend of ₹0.30 per equity share for FY 2024-25.
3. Re-appointment of Mr. Shiv Prakash Mittal as a director, liable to retire by rotation.
4. Appointment of M/s. P. Sarawagi & Associates as Secretarial Auditors for a five-year term.

These developments reflect Greenpanel Industries' commitment to strengthening its management team, maintaining financial transparency, and adhering to corporate governance standards. As the company navigates through these changes, stakeholders will be keenly watching how these moves impact its operational efficiency and market position in the wood panel industry.

Greenpanel Industries , a leading manufacturer of wood panels, reported a challenging first quarter, with consolidated revenues declining to Rs. 323.00 crore. The company faced multiple headwinds but remains optimistic about its future prospects.

Revenue and Volume Decline

The company's Medium Density Fiberboard (MDF) revenue declined by 12% year-on-year, primarily due to:

• An 8.5% decrease in domestic MDF volumes, attributed to the discontinuation of 37,000 cubic meters of commercial-grade MDF sales following the implementation of Bureau of Indian Standards (BIS) quality control orders.
• A significant 40% drop in export volumes, largely due to geopolitical disruptions in the Middle East.

Despite these challenges, Greenpanel reported a 47% growth in like-for-like domestic sales, excluding the discontinued commercial-grade MDF.

Financial Performance

The company's financial results for the quarter were impacted by several factors:

• Negative EBITDA of Rs. 12.40 crore
• Negative Profit After Tax (PAT) of Rs. 34.60 crore
• A forex loss of Rs. 27.60 crore on Euro borrowings
• Stabilization costs from the new thin panel plant in Andhra Pradesh

Excluding the currency impact, the consolidated operating EBITDA stood at Rs. 13.00 crore, representing 4% of revenues.

Positive Developments

Despite the challenges, Greenpanel reported some positive developments:

• Gross margins improved to 47%, benefiting from a 7% sequential decline in timber prices.
• The company maintained its volume and margin guidance despite pricing pressures.
• Management is focusing on market share recovery through cost optimization and operating leverage.

Industry Trends

Greenpanel noted several positive industry trends that could benefit the company in the coming quarters:

• Reduced MDF imports
• No major capacity additions expected in the near term
• Stricter BIS implementation for smaller players from August

Management Commentary

Shobhan Mittal, Managing Director of Greenpanel Industries, commented on the results: "While Quarter 1 was fraught with a few exceptions, some clearly beyond our control, example, FX movements, and while there are still challenges, especially on pricing for now, our renewed focus will be to recoup lost volumes and regain market share going forward over the next 9 months."

Future Outlook

The company remains committed to its growth strategy:

• Targeting a 30-35% capacity utilization for the new thin MDF plant this fiscal year
• Focusing on recouping lost market share and volume growth
• Countering pricing pressure through expected reductions in raw material and other variable costs
• Optimizing fixed costs and leveraging operating efficiencies

Greenpanel Industries is navigating through a challenging period but maintains an optimistic outlook for the remainder of the fiscal year. The company's focus on cost optimization, market share recovery, and leveraging its expanded capacity positions it well to capitalize on the expected improvements in market conditions.