Cosmo First has reported its financial results for the quarter and year ended March 2026, showing a broad-based improvement in performance led by stronger volumes, better margins, and accelerating momentum in its new businesses.
Q4 FY26 EBITDA improved year-on-year, driven by a 41% jump in sales volumes, stronger specialty sales, and improved margins in base BOPP and BOPET films. The specialty chemicals business also contributed with a robust performance.
Net profit growth was moderated by an exceptional item of Rs. 7.2 crore, higher depreciation and interest costs linked to new capacity additions, and a one-time impact of Rs. 5.3 crore due to reversal of deferred tax assets following a restructuring in the South Korea subsidiary.
The specialty chemicals arm continued its strong run, delivering 25%+ EBITDA margins in Q4 FY26, powered by its three core verticals—coating chemicals, masterbatches, and adhesives.
Cosmo Plastech, the company’s rigid packaging business, delivered over 70% year-on-year topline growth in Q4 and is now close to EBITDA breakeven. The focus for FY27 shifts toward profitability through higher utilisation and operational efficiency.
Both B2C arms continued to expand. Zigly Petcare posted 54% year-on-year growth in Q4, while Cosmo Consumer—covering window films, paint protection films, and ceramic coatings—continued its scale-up phase.
Net debt fell by Rs. 55 crore in Q4 to Rs. 1,159 crore, even after a Rs. 19 crore increase due to foreign currency loan valuation impact from rupee depreciation. Net debt now stands at 2.4x EBITDA, with further reduction targeted over the next two years.
The board has recommended a dividend of Rs. 4 per equity share for FY26.
Commenting on performance, Group CEO Pankaj Poddar said: "We are happy with the progress made in all our businesses, including the new ones. The FY27 focus will be on achieving full capacity utilization in Films & Chemicals, higher growth in speciality sales; scaling-up and being profitable in Plastech; and substantially growing the B2C businesses.
"The Company has done well to manage the uncertainty percolating from US duty issue as well as West Asia war. Managing volatility & uncertainty will remain one of the critical tasks ahead.”
The company signalled FY27 focus on full utilisation of capacity in films and chemicals, stronger speciality growth, scaling consumer businesses, and continued deleveraging.
