Ester Industries Limited, India’s leading manufacturer of polyester films and specialty polymers, announced its unaudited standalone and consolidated financial results for the second quarter and half year ended 30 September 2025.

During Q2 FY26, the company reported consolidated revenue of Rs. 357 crore, registering a 7 per cent year-on-year increase driven by higher volumes across both the Polyester Film and Specialty Polymer segments. Profitability, however, was impacted by softer margins in the Polyester Films segment due to pressure from increased imports in the domestic market and the continuing effect of US trade tariffs in international markets.

Consolidated EBITDA stood at Rs.17 crore, down 59 per cent year-on-year, while the company recorded a net loss of Rs. 16 crore for the quarter. The company noted that consolidated EBITDA would have been Rs. 28 crore (7.70 per cent) excluding the adverse impact of exchange fluctuations and MTM losses on foreign currency loans and derivatives.

The Specialty Polymer segment continued to be the company’s strong growth engine, reporting revenue of Rs. 57 crore, up 39 per cent year-on-year, while EBIT rose 45 per cent to Rs. 21 crore. The segment’s volume growth and margins remained resilient, supported by sustained demand for its marquee products and strong IP protection, despite the challenges posed by US trade tariffs.

In the Polyester Chips & Film segment, which now includes rPET, the company recorded significant growth in rPET sales volumes, increasing by 219 per cent, and a 9 per cent rise in film volumes. Its wholly owned subsidiary, Ester Filmtech Limited, achieved a 40 per cent increase in sales volume and 20 per cent growth in revenue. While the segment recorded marginal revenue growth of 2 per cent, profitability remained under pressure due to imports and US trade tariffs. The Directorate General of Trade Remedies (DGTR) has initiated an investigation into the imposition of Anti-Dumping Duty on polyester film imports originating from Bangladesh, China PR, Thailand, and the United States, following a petition by the domestic industry.

Ester also provided an update on the ELITe recycling project, which remains on track for completion by December 2027. The company has signed agreements for the acquisition of approximately 90 acres of land in the PCPIR zone in Surat, Gujarat. The location offers strategic advantages, including access to polyester textile waste, a skilled workforce, and proximity to a deep-water seaport.

The project has already secured strong interest from global brands, with multiple international clients entering long-term offtake agreements well ahead of commissioning. Ester announced a multi-year offtake agreement with Nike, making it the anchor customer for the Infinite Loop India facility. Under this agreement, ELITe will supply Twist, Loop Industries’ branded virgin-quality polyester resin made entirely from textile waste, featuring full traceability through proprietary chemical tracer technology.

ELITe has also finalized an offtake agreement with Taro Plast S.p.A. to supply recycled polyester intermediates and resins, including 100 per cent recycled Loop DMT for automotive and specialty polymer applications. Additionally, a strategic alliance has been established with Hyosung TNC to convert high-purity, traceable Twist polyester into premium Regen performance yarns for leading apparel brands.

Commenting on the company’s performance, Arvind Singhania, Chairman of Ester Industries, said, “Ester continues to strengthen its leadership across specialty polymers, polyester films, and sustainable materials. With growing demand for polyester film, strong IP-protected products in the Specialty Polymer segment, and increasing global focus on circularity and recycling, we are well-positioned to deliver sustainable long-term growth. Our ELITe project marks a significant step in advancing our circular economy vision, and we remain committed to creating long-term value for our shareholders.”