Greenply Industries Limited , a leading manufacturer of plywood and allied products, has initiated a postal ballot process to seek shareholder approval for the re-appointment of Rajesh Mittal as Chairman cum Managing Director (CMD) for a five-year term. This move comes as the company aims to ensure continuity in its leadership amid a challenging economic environment.

Key Details of the Proposal

Financial Context

The proposed re-appointment and remuneration package come against the backdrop of Greenply Industries' recent financial performance:

Despite a moderate increase in revenue, the company has experienced a decline in profitability compared to the same quarter in the previous year. This context underscores the importance of stable leadership to navigate current market challenges.

Implications for Shareholders

1. Leadership Continuity: The re-appointment of Rajesh Mittal for another five-year term signals the board's confidence in his leadership and strategy for long-term growth.

2. Remuneration Structure: The proposed remuneration, including a substantial basic salary and performance-linked commission, aligns the CMD's interests with those of the shareholders.

3. Corporate Governance: The use of a postal ballot for this decision demonstrates Greenply's commitment to transparent decision-making and shareholder participation.

4. Financial Responsibility: Given the recent dip in profitability, shareholders may scrutinize the remuneration package, particularly the commission component tied to net profits.

Industry Outlook

The plywood and wood panel industry in India faces both opportunities and challenges. While government initiatives like 'Housing for All' and smart city projects offer growth potential, factors such as raw material costs and competition from the unorganized sector remain concerns. Greenply Industries' leadership will be crucial in navigating these market dynamics.

Conclusion

As Greenply Industries seeks shareholder approval for this significant corporate action, investors will need to weigh the proposed remuneration against the company's recent financial performance and future growth prospects. The outcome of this postal ballot will be a key indicator of shareholder confidence in the current leadership and their vision for the company's future.

Shareholders are encouraged to participate in the e-voting process, which runs from November 30 to December 29, 2025, to make their voices heard on this important corporate governance matter.

Greenply Industries , a leading player in the Indian wood panel industry, has reported a 7.5% year-on-year revenue growth for Q2 FY26, despite facing margin pressures in its key business segments. The company's performance reflects the ongoing challenges and opportunities in the wood panel market, particularly in the plywood and Medium Density Fiberboard (MDF) sectors.

Financial Highlights

• Consolidated quarterly revenue reached INR 688.60 crores, up 7.5% year-on-year
• Core EBITDA stood at INR 56.80 crores with a margin of 8.2%, down from 9% in the corresponding quarter
• Half-yearly consolidated revenue grew by 5.3% to INR 1,289.40 crores
• H1 FY26 EBITDA increased by 2.5% to INR 118.40 crores, with a margin of 9.2%

Segment Performance

Plywood Segment

• Significant demand observed in mid-value segments
• Average realization per square meter decreased by 3.5% to INR 242.00
• Q2 FY26 core EBITDA margin improved to 8.2% from 7.9% in the previous quarter
• H1 FY26 revenue grew by 3.1% to INR 995.50 crores, with a volume growth of 2.5%

MDF Business

• Q2 FY26 revenue increased by 16.1% to INR 146.80 crores
• Volume grew by 15.9% to 47,018 CBM
• Manufacturing capacity expanded from 800 CBM to 1,000 CBM per day
• Margins temporarily impacted due to expansion-related shutdown and inventory liquidation

Strategic Initiatives and Outlook

Manoj Tulsian, Joint Managing Director and CEO, commented on the company's performance and future prospects: "We have been able to grow over Q1 FY '26 in both our segments. The gradual progress in BIS implementation and steady timber prices continue to provide a favorable environment for organized and branded players like us."

The company has implemented several strategic initiatives:

1. Extended marketing focus to the value segment with the Ecotec brand
2. Launched the "Kaam Sahi. Daam Sahi." campaign for stronger brand recall in the mid-price category
3. Commenced advertising for the fast-growing MDF category

For H2 FY26, Greenply Industries expects:

• Double-digit volume growth in the plywood segment
• Higher double-digit growth in the MDF segment with margins rebounding to 16% plus
• Improved overall performance driven by operational efficiencies and market strategies

Challenges and Opportunities

While the company faces margin pressures due to competitive pricing and raw material costs, it remains optimistic about future growth. The management expects the BIS implementation to benefit organized players and sees potential in the growing MDF market.

Greenply Industries continues to focus on expanding its product portfolio and market presence, with ongoing investments in capacity expansion and marketing initiatives. The company's ability to navigate the competitive landscape while maintaining growth will be crucial for its performance in the coming quarters.