EPACK Prefab FY26: growth, cash discipline, and a busy expansion calendar

EPACK Prefab Technologies Limited closed FY26 with a strong first full year as a listed company, combining fast revenue growth with disciplined cash generation. Revenue from operations rose to INR 1,525.3 crore, up 34.5% year on year. EBITDA increased to INR 159.7 crore with a 10.5% margin, and PAT rose to INR 92.6 crore with a 6.1% margin.

Management repeatedly framed the year as a proof point on execution and financial quality. Operating cash flow was disclosed at INR 135.7 crore, which the company described as roughly 85% of EBITDA conversion. The presentation also highlighted a net cash position of about INR 200.7 crore (including short-term treasury investments) and indicated that the company used IPO proceeds and internal accruals to both expand capacity and reduce borrowings.

What drove FY26 performance

The company’s growth narrative is anchored in prefab and pre-engineered steel buildings (PEB), supported by an integrated portfolio that includes prefabricated structures, sandwich insulated panels, light gauge steel frames, standard modular solutions, and EPS packaging.

In the investor presentation, the company reported prefab segment revenue growth of 45% year on year in FY26. On the earnings call, management provided a topline split at a high level: out of INR 1,525 crore of FY26 revenue, around INR 1,382 crore came from the PEB or prefab business, while about INR 131 crore came from the EPS and packaging business (as stated on the call). The company did not commit to separate reporting for sandwich panels, but it did provide a quantitative reference point: management said it produced about 5.18 lakh square metres of sandwich panels in FY26 and offered an indicative value of roughly INR 65 crore based on a per-square-metre assumption.

The company’s order engine remained healthy. Pending order book was disclosed at INR 1,112.7 crore as of 31 March 2026, up 21.5% year on year per the presentation. Management described the business as relatively short cycle, with most projects typically executed within six to nine months, with a smaller portion getting delayed due to customer-side approvals or funding issues.

FY26 financial snapshot

Strategy: capacity first, but with sector selectivity

EPACK’s pitch is that prefab is shifting from a niche solution to a bottleneck solver for India’s fast-expanding industrial and infrastructure build-out. The sectors highlighted across the deck and call included renewable energy, data centres, semiconductors, power and energy including EV, and logistics and warehousing.

Management stated that, as of early April, about 35% to 38% of the order book came from these “new age” sectors. The company positioned speed of execution and in-house design and installation capabilities as key differentiators in these categories, where time-to-commission can be commercially decisive.

To support growth, EPACK is running three capacity expansion tracks in parallel:

1. Ghiloth, Rajasthan greenfield facility: The company allocated IPO proceeds towards a new facility intended to manufacture continuous sandwich insulated panels and prefab. The presentation stated that work started in Q4 and is expected to be completed by Q3 FY27. On the call, management indicated commercial production from the continuous sandwich panel line is expected in Q3, around October to November.

2. Mambattu, Andhra Pradesh brownfield expansion: The company disclosed that one expansion line has commenced production. On the call, management also referred to an additional line under execution, expected to become operational in the next quarter.

3. Gujarat greenfield project near Vithalapur: Management said land has been acquired and civil construction is in full swing. Phase 1 is targeted to add close to 50,000 tons of PEB capacity to better serve Maharashtra and Gujarat. Management suggested the plant is planned by the end of Q4 FY27, with utilization starting from the next financial year.

The Gujarat project also connects to a visible operational gap. In the Q&A, management explained that West India revenue share has declined in recent periods partly because the company has been servicing the region from other plants and effectively subsidizing freight costs. The Gujarat facility is designed to structurally address that disadvantage.

FY27 guidance: growth with range-bound margins

For FY27, EPACK guided for 30% growth in the prefab division and overall revenue in the range of INR 1,925 to 1,950 crore. It also guided capex of about INR 150 crore and net working capital of 35 to 38 days.

On profitability, management reiterated that EBITDA margins are expected to stay range bound. The call referenced a margin band of roughly 10.5% to 11.5%, with a commitment to remain at least 10% plus through FY27.

A near-term risk discussed was steel price volatility. Management said Q4 saw a margin decline due to sharp steel price increases and fixed-price contracts. However, it also claimed it was able to secure price increases in 80% plus of contracts, limiting the percolation of raw material inflation into FY27.

Another explicit issue was sandwich panel utilization. Management admitted the Mambattu sandwich panel line did not perform to its potential, citing low utilization and outlining a sales restructuring and go-to-market reset. The company said it has about 4 lakh square metres of sandwich panel order book in hand, with around 75% intended for captive consumption and 25% for external sales.

Takeaways

EPACK’s FY26 disclosures point to a company that is scaling quickly while trying to keep cash discipline intact. Revenue growth, stable EBITDA margins, and high operating cash conversion were the core positives.

FY27 will be a test of sequencing and execution: absorbing fresh capacity additions, ramping sandwich panel utilization, and defending margins in a steel-linked cost environment. If the company can deliver on timelines for Ghiloth and maintain healthy order conversion in renewables, data centres, and semiconductors, its stated revenue target range for FY27 has a clear operating logic.

This is still an execution-heavy story. The disclosures give investors enough to track whether EPACK is converting capacity into profitable growth, quarter after quarter.