All Time Plastics in FY26: Higher revenue, lower margins, and a capacity-led reset

All Time Plastics Limited closed FY26 with revenue growth but lower profitability, while management positioned the year as a transition marked by capacity additions and late-year external disruption. On a standalone basis, revenue from operations increased to INR 610.4 crore in FY26 from INR 558.2 crore in FY25, a 9.4% rise. But EBITDA declined to INR 90.1 crore with margin compression to 14.8% from 18.2%, and PAT fell to INR 35.6 crore from INR 47.3 crore.

Q4FY26 reflected the same push-pull. Revenue was broadly flat at INR 145.8 crore versus INR 148.2 crore in Q4FY25, but gross margin improved sharply to 41.9% from 39.1%. EBITDA, however, declined to INR 21.6 crore and PAT came in at INR 9.4 crore.

Management attributed the quarter’s operational stress to disruptions triggered by the West Asia geopolitical crisis. They cited port congestion, extended transit delays, and the non-availability of certain critical inputs that impacted production schedules and shipment timing in the latter part of Q4. They also noted that the disruption continued into April and May.

Q4: Better gross margin, but fixed costs weighed on EBITDA

The Q4 gross margin improvement was a notable data point. Management linked it to a more favourable revenue mix, client mix and product mix, including a moderation in export share and growth in domestic business. They stated they believe this improved gross margin profile is sustainable.

Despite this, EBITDA margins remained lower. The company described FY26 as a transition phase driven by capacity additions, with higher fixed costs from newly commissioned capacity at Khatalwada and increased employee investment ahead of scale. In the concall, the CFO also pointed to employee cost and contract labour costs as key drivers of higher operating expenses.

The company did not quantify a detailed spillover impact, but management indicated that some programs shifted from February to April at the customer end and suggested the impact could be around 10% to 15% over the quarter. They also stated the delayed exports in the last week could be a few crores, roughly INR 3 crore to INR 5 crore, with no cancellations.

FY26: Capacity build-up created headroom, but utilisation fell

All Time Plastics has expanded its installed plastic capacity steadily from 26,000 tonnes in FY23 to 39,000 tonnes in FY26, alongside an increase in injection moulding machines from 113 to 170. Yet capacity utilisation fell to 67.4% in FY26 from 79.5% in FY25, and collapsed to 52% in Q4FY26.

Lower utilisation had two visible consequences in the reported numbers.

First, operating leverage weakened. The company’s fixed asset turnover declined to 1.66 in FY26 from 1.99 in FY25, with management attributing the decrease to major capex incurred at the Khatalwada plant.

Second, return ratios dropped sharply. FY26 ROCE was reported at about 10.3% and ROE at about 8.3%, down from FY25 ROCE of 17% and ROE of 21%. The presentation notes also attribute part of the decline to the post-IPO equity base.

At the same time, the company maintained volume throughput. Total polymers processed were 26,300 MT in FY26 versus 26,230 MT in FY25. Within this, recycled polymer usage increased to 8,022 MT from 7,136 MT, aligning with the company’s sustainability narrative.

Mix shifts: Europe remains core, India’s share is rising

On a consolidated basis, Europe remained the largest geography, accounting for 58% of revenue in FY26, followed by the UK at 12%, the US at 12%, and India at 17%. This represented an increase in India’s share from 14% in FY25.

Product mix in FY26 was led by Containers at 39% and Prep Time at 34%, followed by Cleaning Time at 15%. Smaller categories included Bath Time (4%), Meal Time (4%), Hangers (3%), Junior (2%), Organization (1%), and Miscellaneous (1%, including raw material, scrap and packaging material).

A notable concentration risk also emerged in the concall. Management stated IKEA contributed around 55% of Q4 revenue, slightly below Q3’s 57%.

Bamboo: a measured adjacency, with numbers attached

The bamboo initiative is the most visible adjacency in the presentation and concall. The company described a pilot-led approach and highlighted a new leased facility in Guwahati.

Key disclosures included:

• A 75,000 sq ft leased facility at Madanpur, Guwahati effective May 2026, planned as a dedicated bamboo board manufacturing unit.
• Phase 1 installed capacity of 3,000 cubic meters per annum.
• A split-processing model, with upstream boards at Guwahati and downstream finishing at Khatalwada.
• On the concall, management stated capex investment will be about INR 15 crore overall, and potential sales revenue could be roughly INR 60 crore at maximum utilisation for the 3,000 cubic meter capacity.
• Management indicated bamboo revenue contribution is expected to begin in H2 FY27.

The company also referenced an MoU with NECBDDC (under MDoNER, Government of India), positioning it as a structured, policy-supported entry into engineered bamboo, while clarifying the framework is non-exclusive and non-binding.

Balance sheet and cash flow: a cleaner base going into FY27

While margins weakened, FY26 showed a clear improvement in balance sheet strength and cash generation.

• Debt to equity reduced to 0.13 in FY26 from 0.88 in FY25.
• Cash and cash equivalents increased sharply to INR 86.5 crore (standalone) at March 31, 2026 from INR 8.4 crore a year earlier.
• Operating cash flow improved materially, with net cash from operating activities at INR 86.3 crore in FY26 versus INR 39.4 crore in FY25, supported by working capital discipline.
• Net working capital days improved to 57 days from 74 days, as stated in the concall.

What management said about FY27: utilisation and margin recovery matter most

Management did not provide explicit revenue guidance, but it did provide directional markers.

• Utilisation: management stated a target of 70% to 75% utilisation for FY27, given ongoing geopolitical uncertainty.
• Margins: management stated margins should improve in H2 FY27 as sales improve and fixed costs are absorbed, with FY27 margins expected to be better than FY26.
• Raw materials: management stated polymer prices were down about 10% to 15% from peak levels, and that customers have increasingly accepted that cost increases were industry-wide. They also noted pass-through lags, including an 8-week pass-on window for the largest customer.

The combination of capacity headroom, lower leverage, and stronger operating cash flow creates a firmer base for recovery, but the near-term remains sensitive to supply chain disruptions and the timing of price pass-through.

Closing takeaways

FY26 for All Time Plastics was a year where the company expanded capacity and improved financial flexibility, but did not yet convert that scale into higher margins and returns. Gross margin resilience and stronger cash generation were positives, while utilisation volatility, customer concentration and geopolitical disruptions remained key risks.

FY27’s key swing factors are straightforward: how quickly utilisation ramps up at the expanded facilities, whether the domestic branded push improves revenue stability, and whether bamboo moves from pilot execution to measurable commercial contribution as planned from H2.