Synopsis: EPACK Durable Limited reported weak Q4 FY26 and FY26 performance with declining revenue, profit, EBITDA margins, and earnings, mainly impacted by pressure in the RAC segment and lower profitability.
This Small-Cap Stock, engaged in manufacturing consumer durable products, including room air conditioners, small appliances, components, washing machines, and kitchen appliances for leading brands, crashed 9.88 percent after the company reported March quarterly results with a 99.95 percent YoY decrease in net profit.
With a market capitalization of Rs. 2,284.46 crores, the share of Epack Durable Limited has reached an intraday low of Rs. 233.15 per equity share, down nearly 9.88 percent from its previous day’s close price of Rs. 258.70. Since then, the stock has retreated and is currently trading at Rs. 237.40 per equity share.
Q4 FY26 Result Walkthrough:
Coming into the quarterly results of Epack Durable Limited, the company’s consolidated revenue from operations decreased by 8.12 percent YOY, from Rs. 643.25 crore in Q4 FY25 to Rs. 591.05 crore in Q4 FY26, and grew by 38.18 percent QoQ from Rs. 427.75 crore in Q3 FY26.
In Q4 FY26, Epack Durable Limited’s consolidated net profit decreased by 99.95 percent YOY, reaching Rs. 0.02 crore compared to Rs. 37.72 crore during the same period last year. As compared to Q3 FY26, the net profit has decreased by 99.23 percent, from Rs. 2.59 crore.
Annual Performance of FY26:
Epack Durable Limited’s revenue has decreased from Rs. 2,171 crore in FY25 to Rs. 1,894 crore in FY26, which is a drop of 12.76 percent. The net profit has also decreased by 94.55 percent from Rs. 55 crore in FY25 to Rs. 3 crore in FY26.
The annual basic earnings per share decreased by 94.09 percent and stood at Rs. 0.34 as against Rs. 5.75 recorded in the financial year 2025. Epack Durable Limited’s revenue has grown at a CAGR of 20.81 percent over the last five years. In terms of return ratios, the company’s ROCE and ROE stand at 4.55 percent and 0.34 percent, respectively. Epack Durable Limited’s debt-to-equity ratio is 0.77x.
EBITDA and Margin Comparison:
EPACK Durable Limited reported a decline in profitability during Q4 FY26 compared to the previous year. Q4 FY26 EBITDA stood at Rs. 25.8 crore, declining by 64.2 percent YoY. EBITDA margin fell to 4.37 percent, down by 684 bps, while Net Profit Margin declined to 0.00 percent, decreasing by 586 bps YoY. The weaker performance reflects pressure on operating margins and profitability during the quarter.
For the full year FY26, EBITDA stood at Rs. 113.9 crore, down 27.7 percent YoY. EBITDA margin declined to 6.01 percent, falling by 125 bps, while Net Profit Margin reduced to 0.17 percent, down by 237 bps YoY. The decline in margins indicates higher costs and lower profitability across key business segments.
Segment Analysis:
EPACK Durable Limited witnessed mixed segment performance during Q4 FY26. The RAC segment faced challenges and declined by 24.7 percent YoY during the quarter due to weaker demand conditions.
However, the Small & Large Domestic Appliances segments delivered strong growth of 32.1 percent YoY, supported by healthy order inflows from both existing and newly launched products. The Components segment also performed well, reporting a 50.1 percent YoY growth driven by strong demand for heat exchangers, plastic molding components, PCBs, and copper parts.
For FY26, the company’s operating revenue declined by 12.7 percent YoY mainly due to weakness in the RAC segment, which fell by 33.2 percent during the year. Despite this, SDA and LDA segments grew by 34.8 percent YoY, supported by rising demand for products like air fryers and other appliances. The Components segment emerged as the strongest performer with 102.8 percent YoY growth, backed by a robust order pipeline across key component categories.
Future Outlook:
EPACK Durable Limited is expanding its business in the Small & Large Domestic Appliances and Components segments, which offer strong growth opportunities. The company is focusing on products like air fryers, mixer grinders, nutri blenders, vacuum cleaners, coffee makers, infrared cooktops, and washing machines. By strengthening relationships with existing clients and adding new customers, EPACK aims to increase market share and meet growing demand.
The company’s growth strategy for FY27 includes New Customer–New Product (NCNP), New Customer–Existing Product (NCEP), and Existing Customer–New Product (ECNP) initiatives. EPACK is also expanding its ODM business and recently added Energy Meter solutions for Genus to diversify its portfolio.
Company Overview:
EPACK Durable Limited was founded in 2003 and is an Indian consumer durables and electronics manufacturing company focused on original design and contract manufacturing of “living appliances” such as air conditioners, air coolers, washing machines and kitchen appliances. It operates as an OEM/ODM partner for many leading brands and is headquartered in Noida, Uttar Pradesh. Written By – Nikhil Naik
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
The post EPACK Durable Stock Falls 10% After Q4 Results; Which Business Segment Dragged Its Profits Down? appeared first on Trade Brains.