Finolex Industries Ltd

Finolex Industries Ltd trading window closed from October 1, 2026 till the completion of 48 hours after the declaration of the Unaudited (Standalone & Consolidated) Financial Results of the Company for the Quarter and Half Year ended September 30, 2026.

AGM details

• AGM held on Sep 22, 2026 at 4:00 p.m. IST via VC/OAVM.
• Quorum confirmed; meeting chaired by the Executive Chairman.
• Remote e-voting Sep 19–21; insta-poll available at AGM.
• Scrutinizers appointed; results to be announced within two working days.

Resolutions

• Ordinary: Adopt standalone and consolidated financial statements for FY2026.
• Ordinary: To declare dividend on equity shares for FY2026.
• Ordinary: Re-appointment of director retiring by rotation.
• Ordinary: Ratification of remuneration paid to Cost Auditors for FY2027.
• Ordinary: Revision in remuneration payable to Non-Executive Directors.

Voting outcomes

• Adoption of financial statements: results pending.
• Dividend declaration: results pending.
• Director re-appointment: results pending.
• Cost auditor remuneration: results pending.
• Remuneration of non-executive directors: results pending.

Dividend

• Dividend on equity shares proposed; amount per share not disclosed.

Director changes

• Director retiring by rotation to be re-appointed.

Auditors

• Remuneration for Cost Auditors ratified for FY2027.

AGM notice and AR access

• 45th AGM on Sept 22, 2026 at 4:00 PM IST via VC/OAVM.
• Web-links to AGM notice and Annual Report sent to unregistered-email shareholders.
• Annual Report FY2025-26 and AGM notice available on Finolex investor site.

KYC and demat updates for physical shareholders

• Physical shareholders must update PAN, email, mobile, signature, and bank details to receive dividends.
• SEBI-mandated KYC updates enable access to RTA services and grievance lodging.
• Cut-off date for email registration was August 21, 2026.
• Forms ISR-1, ISR-2, ISR-3 and SH-13/SH-14 required for updates.
• RTA contact and demat conversion advised.

Dividend entitlement and record date

• Record date fixed as Friday, 11 September 2026, for FY2025-26 dividend entitlement.
• Board recommended final dividend ₹2 and special dividend ₹0.75 per equity share.
• Aggregate dividend ₹2.75 per share, 137.50% of paid-up face value.
• Subject to approval by Members at the 45th AGM on 22 September 2026.
• Payment within 30 days after AGM, subject to TDS.
• Entitlement applies to physical and demat holders as per records on record date.

Overview

• Standalone BRSR for FY2025-26 covering PVC pipes and fittings manufacturing.
• PVC pipes and fittings account for 99% of turnover.
• Reporting boundary is standalone; four plants and 11 locations nationwide.
• Markets served across 25 states; exports nil.
• Assurance: TÜV SÜD South Asia provides reasonable assurance for core BRSR indicators.

Key ESG Risks & Opportunities

• Material ESG risks include human rights, occupational health and safety, water/energy, and climate change.
• Mitigations include Human Rights Policy, POSH, ABAC, Whistleblower, and HSE governance.
• Opportunities include energy efficiency, water stewardship, circular waste, and strong governance.
• Financial implications include potential cost savings from efficiency and emissions reductions.
• Targets include 15% renewable energy by 2030 and one water-neutral site by 2030.
• LCA planned for UPVC/CPVC pipes by FY28.
• Water recycling: 305k KL treated effluent reused; 2.37 million KL rainwater harvested.
• Renewable energy actions contributed to ~39k tCO2e avoided.

Governance & Policy Highlights

• Board oversight of ESG via Risk, ESG, CSR, Stakeholders, and Safety Committees.
• ABAC and Whistleblower policies are in place.
• Supplier Code of Conduct and Equal Opportunity Policy linked to ESG.
• TÜV SÜD provided reasonable assurance on core BRSR indicators.

Social Responsibility & Workforce

• Total workforce: 1,132 permanent employees and 3,170 workers.
• Board female representation: 20% (2 of 10).
• Zero employee fatalities in FY2025-26; 100% safety training coverage.
• Code of conduct training: 64% completion vs 100% target.
• Spending on well-being measures: 0.11% of revenue.
• Grievance mechanisms include Dial HR, Whistleblower, ICC, and Open House sessions.
• 75% of value chain partners assessed for health and safety and working conditions.

Environmental Performance

• Total energy: 38,43,869 GJ; renewable energy share 11.6%.
• Scope 1 emissions: 344,107 tCO2e; Scope 2: 52,987 tCO2e.
• Emission intensity: 0.96 tCO2e per million turnover; 0.67 tCO2e/tonne produced.
• Total waste: 18,876 tonnes; plastic 4,883 t; hazardous 5,869 t; non-hazardous 8,111 t.
• Water withdrawals ~3.36 million kL; consumption ~2.485 million kL; water intensity 0.23 kL/MT.
• Water neutrality target: one manufacturing site by 2030.
• 305k KL effluent recycled; 2.37 million KL rainfall harvested.
• External assurance by TÜV SÜD for environmental metrics.

Stakeholder Engagement & Complaints

• Key stakeholder groups: dealers/retailers/customers; investors; community.
• Engagement channels include meetings, trainings, calls, emails; frequency ranges from quarterly to annual.
• Shareholders filed 52 complaints; 1 pending.
• Customers filed 1,113 complaints; 0 pending.
• Community engagement via Mukul Madhav Foundation and CSR programs.

Other Notable Metrics

• Sustainable sourcing: ~90% of direct inputs sourced sustainably.
• Assurance: TÜV SÜD provides reasonable assurance on core BRSR KPIs; ISO/RC certifications noted.
• EPR: Brand Owner and Importer under Plastic Waste Management Rules; targets filed annually.

Financial highlights

• FY26 standalone revenue from operations ₹4,113.43 crore; PAT ₹580.34 crore; EBITDA ₹679 crore.
• EBITDA margin 16.50%; EPS ₹9.39 for FY26; total income ₹4,326.64 crore.
• Final dividend ₹2.00 per share and special dividend ₹0.75 per share proposed, ₹2.75 total.

Operations & capacity

• Sales volume of PVC pipes & fittings: 3,32,736 MT in FY26.
• Installed capacity: 5,20,000 MT/annum; PVC resin capacity 2,72,000 MT/annum.
• Backward integration with captive PVC resin; four manufacturing facilities in Maharashtra/Gujarat.
• Revenue by product: PVC pipes & fittings ~₹4,016.45 crore (95%+ of turnover from this line).
• Geography: all revenue generated in India; no exports disclosed here.

Capital allocation & dividends

• Net worth (Consolidated) ₹6,215 crore; free cash ₹2,563 crore.
• Capital expenditure: CWIP ₹27.85 crore at year-end; capex planned for expansion.
• Dividend timing: record date 11-Sep-2026; dividend payment by 21-Oct-2026.
• Board approved cost audit appointment and remuneration; shareholder approvals sought where required.

Governance & leadership

• Key board changes FY26: Udipt Agarwal appointed MD (Nov 1, 2025); Rambabu Sanka appointed Director-Technical (Aug 2, 2025).
• Resignations: Saurabh Dhanorkar (MD) Oct 25, 2025; Saumya Chakrabarti (Director-Technical) Aug 31, 2025; Rajesh Rathi (Independent) Aug 2, 2025.
• KMP: Chandan Verma (CFO); Dakshinamurthy Iyer (Company Secretary).
• ESG governance: Double materiality ESG assessment; TÜV SÜD engaged for BRSR assurance.

ESG & sustainability highlights

• Renewable energy share of total electricity consumption: 11.6% (FY26).
• GHG emissions intensity: Scope 1+2 0.96 tCO2e per ₹1m turnover; 0.67 tCO2e per MT produced.
• Water stewardship: 305,000 KL treated effluent recycled; 2.37 million KL rainwater harvested.
• Waste: 18,876.25 tonnes generated; recycling 18,610.84 tonnes; 95+ water projects; 200 school toilets.
• CSA Sustainability CSA score improved to 55 (from 48).

Social impact & CSR

• CSR spend ₹19.84 crore; MMF partnership drives healthcare, education, water, sanitation, livelihoods.
• Healthcare: 25,000+ patients supported; 100+ network hospitals; 29,000 TB patients; 6,000 mammograms.
• Education: 1,000 institutional scholarships; 50,000+ students benefited.
• Livelihoods: 6,000+ women empowered; 5,000+ women enabled with livelihoods.
• Water & sanitation: 95 water projects; 200 school toilets; 200 RO units installed.

Risks & outlook

• Raw material price volatility (PVC resin, EDC, VCM) and import dependence; mitigated via backward integration and supplier base.
• Regulatory/compliance risks; ongoing ESG governance and robust internal controls.
• Macro uncertainties: currency, inflation, and demand cycles; diversified product mix and wide distribution provide resilience.
• Longer-term outlook: structural growth in irrigation, housing and urban infrastructure supports PVC pipes demand.

Audit, controls & disclosures

• Statutory auditors: Walker Chandiok & Co LLP; Secretarial: SVD & Associates; Internal audit reports to Audit Committee.
• BRSR assurance: TÜV SÜD South Asia Pvt Ltd. provides reasonable assurance for 9 core attributes.
• ISA/IFRS equivalents: FY26 annual report includes Management Discussion & Analysis; internal controls deemed adequate.

AGM Details

• Date and time: 22 September 2026, 4:00 PM IST; mode: VC/OAVM.
• AGM conducted through VC/OAVM under MCA/SEBI relaxations.
• e-voting cut-off date: 11 September 2026.
• Remote e-voting window: 19–21 September 2026, 9:00 AM–5:00 PM.

Dividend & Voting Dates

• Dividend proposed: final ₹2.00 per share and special ₹0.75 per share.
• Total dividend: ₹2.75 per share.
• Record date for dividend: 11 September 2026.
• Dividend payment date: on or before 21 October 2026.
• Tax deduction at source and KYC requirements apply.

Resolutions

• Ordinary: Adoption of standalone and consolidated financial statements for FY2025-26.
• Ordinary: Declaration of dividend for FY2025-26.
• Ordinary: Re-appointment of Rambabu Sanka as Director liable to retire by rotation.
• Special: Ratification of remuneration to Cost Auditors for FY2026-27 at ₹5,00,000.
• Ordinary: Increase NED commission cap to ₹6 crore per year (1% of net profits).

Director Changes

• Re-appointment of Rambabu Sanka as Director liable to retire by rotation.
• Director-Technical since 2 August 2025.

Auditor Remuneration

• Cost Auditors remuneration for FY2026-27 ratified at ₹5,00,000 plus taxes and expenses.