Century Ply particle board returns to EBITDA profit in Sep’26

Century Plyboards (India) Ltd returned its particle-board business to earnings before interest, tax, depreciation and amortisation (EBITDA) profit in Sep’26, reporting Rs 5.28 crore against a Rs 6.54 crore loss a year earlier. Total income, including inventory, rose 211.0% year on year to Rs 102.41 crore, while volume increased 161.7% to 49,351 cubic metres.

Why did Century Ply’s particle-board EBITDA turn positive?

Century Ply’s particle-board EBITDA turned positive as quarterly total income and gross profit rose substantially from Sep’25. Total income, including inventory, reached Rs 102.41 crore in Sep’26 from Rs 32.93 crore a year earlier, while gross profit rose to Rs 20.24 crore from Rs 1.55 crore. EBITDA improved by Rs 11.82 crore to Rs 5.28 crore, and the EBITDA margin moved to 5.2% from negative 19.9%.

The income increase coincided with higher sales volume. Total particle-board volume was 49,351 cubic metres (CBM) in Sep’26, up 161.7% year on year and 18.4% quarter on quarter from 41,680 CBM in June’26. Plain particle-board volume rose 110.4% year on year to 21,492 CBM, while prelam particle-board volume increased 222.4% to 27,859 CBM. Reported average realisation for total particle board was Rs 20,527 in Sep’26, 20.5% above Sep’25 but 0.7% below June’26.

Did Century Ply’s EBITDA turnaround reach segment profit?

No. Century Ply’s particle-board segment remained loss-making below EBITDA in Sep’26, reporting a segment loss of Rs 4.44 crore. That was narrower than a Rs 14.62 crore loss in Sep’25 and a Rs 7.85 crore loss in June’26. Depreciation was Rs 11.72 crore in Sep’26, exceeding the quarter’s Rs 5.28 crore EBITDA, while the reported segment-profit margin remained negative at 4.3%, compared with negative 44.4% a year earlier.

Foreign-exchange movements were also reported separately in the segment data. EBITDA excluding foreign exchange was Rs 7.53 crore in Sep’26, compared with a Rs 3.31 crore loss in Sep’25, while the reported foreign-exchange loss was Rs 2.25 crore against Rs 3.23 crore a year earlier. Segment loss excluding the foreign-exchange difference was Rs 2.19 crore, narrower than Rs 11.39 crore in Sep’25. The figures show positive EBITDA but a reported loss at the segment-profit level.

Is Century Ply’s turnaround visible in the half-year results?

Yes. Century Ply reported positive particle-board EBITDA of Rs 8.19 crore in the six months to Sep’26, compared with a Rs 7.82 crore loss in the corresponding Sep’25 period. Total income rose 183.3% year on year to Rs 190.05 crore, and the EBITDA margin moved to 4.3% from negative 11.7%. Total volume increased 158.9% to 91,031 CBM, while net sales value rose 186.8% to Rs 187.48 crore.

The half-year outcome contrasts with the annual 2025-26 figures. Total income increased 38.2% to Rs 200.39 crore in 2025-26 from Rs 144.95 crore in 2024-25, but EBITDA changed from a Rs 10.55 crore profit to a Rs 13.50 crore loss. Gross-profit margin declined to 11.0% from 21.0%, while depreciation increased to Rs 33.77 crore from Rs 5.12 crore. The Sep’26 and six-month data therefore represent an improvement from that annual result, rather than a full-year outcome.

How does Century Ply’s particle-board business compare with other segments?

Century Ply’s particle-board business recorded the highest Sep’26 year-on-year income growth among particle board, medium-density fibreboard (MDF), and logistics services, but it remained smaller than MDF by income and EBITDA. Particle-board total income was Rs 102.41 crore, up 211.0% year on year; MDF total income was Rs 379.39 crore, up 10.5%; and logistics-services total income was Rs 58.83 crore, up 72.7%. Particle-board EBITDA of Rs 5.28 crore compared with Rs 33.21 crore for MDF and Rs 14.28 crore for logistics services.

Particle board was the only one of those three segments to report a Sep’26 segment loss. MDF reported segment profit of Rs 18.85 crore after Rs 16.30 crore of depreciation, and logistics services reported segment profit of Rs 9.12 crore after Rs 5.15 crore of depreciation. Particle board’s Rs 11.72 crore depreciation charge exceeded its EBITDA and resulted in the Rs 4.44 crore segment loss. Its 19.8% gross-profit margin was below MDF’s 23.0%, while logistics services reported 92.3%.

Conclusion

Century Ply’s Sep’26 particle-board figures show a return to EBITDA profit supported by a 211.0% increase in total income and a 161.7% rise in volume. The Rs 5.28 crore quarterly EBITDA and Rs 8.19 crore half-year EBITDA contrast with losses in the comparable prior-year periods, but depreciation of Rs 11.72 crore kept quarterly segment profit negative.

The next disclosures will show whether the increase in volume and positive EBITDA continue while the business absorbs depreciation and other costs below EBITDA. Century Ply’s capex schedule assigns cumulative spending of Rs 702.4 crore to the Chennai greenfield particle-board project, including Rs 8.8 crore in H1 26-27 and no allocation in H2 26-27; prelam average realisation was Rs 23,489 in Sep’26, down 3.0% from June’26.