EPL revenue rises 30% as Europe profit and margins fall

EPL Limited reported consolidated revenue from operations of Rs 1,567.4 crore for the quarter ended 30 September 2026, up 30% from Rs 1,205.9 crore a year earlier, while operating margin narrowed to 18.39% from 20.89% and Europe’s segment result declined to Rs 9.1 crore from Rs 15.8 crore.

How much did EPL's revenue grow in the September 2026 quarter?

EPL’s consolidated revenue from operations increased 30% year on year to Rs 1,567.4 crore in the quarter ended 30 September 2026, from Rs 1,205.9 crore in the corresponding quarter of 2025. Revenue also rose from Rs 1,387.9 crore in the preceding quarter ended 30 June 2026, an increase of Rs 179.5 crore.

For the half year ended 30 September 2026, revenue from operations was Rs 2,955.3 crore, compared with Rs 2,313.8 crore in the prior-year half. Total income for the September quarter reached Rs 1,577.4 crore, against Rs 1,217.8 crore a year earlier, as other income decreased to Rs 10 crore from Rs 11.9 crore.

The reported revenue figure reflects Rs 137.7 crore of inter-segment eliminations in the September 2026 quarter, compared with Rs 100.3 crore a year earlier. Before those eliminations, all four geographical segments reported higher revenue, with AMESA, or Africa, Middle East and South Asia, recording the largest disclosed segment revenue at Rs 499.7 crore.

Which EPL segments drove the revenue increase?

EPL’s AMESA revenue rose to Rs 499.7 crore from Rs 390.4 crore in the September quarter, while its segment result increased to Rs 59.7 crore from Rs 44.7 crore. The segment includes operations in India and Egypt, and its assets stood at Rs 1,678.1 crore at 30 September 2026, compared with Rs 1,398.6 crore a year earlier.

EAP, which includes China, the Philippines and Thailand, posted revenue of Rs 413.8 crore, up from Rs 295.1 crore, and segment result of Rs 64.8 crore, up from Rs 50.4 crore. EAP’s segment assets increased to Rs 1,400.1 crore at 30 September 2026 from Rs 960.2 crore at 30 September 2025; EPL also made an additional Rs 14.2 crore investment during the quarter in wholly owned EPL Packaging (Thailand) Co. Ltd.

Americas revenue increased to Rs 440 crore from Rs 351.2 crore, while segment result rose to Rs 53.5 crore from Rs 47.1 crore. The region comprises operations in the United States, Mexico, Colombia and Brazil, and its September-quarter result was also above Rs 37.6 crore in the June 2026 quarter as revenue rose from Rs 379.2 crore.

Europe’s revenue grew to Rs 350.7 crore from Rs 269 crore, covering operations in the United Kingdom, Poland, Russia and Germany. The segment’s assets rose to Rs 1,023.5 crore at 30 September 2026 from Rs 911.5 crore a year earlier, while its liabilities increased to Rs 316 crore from Rs 197.6 crore.

Why did EPL's Europe segment result decline?

EPL’s Europe segment result fell 42% year on year to Rs 9.1 crore in the quarter ended 30 September 2026 from Rs 15.8 crore, despite the 30% increase in its revenue. Europe was the only disclosed geographical segment to report a lower segment result than both the year-earlier quarter and the immediately preceding June 2026 quarter, when its result was Rs 15.4 crore.

The filing provides geographical segment data but does not give a separate explanation for Europe’s reduced result. For the half year ended 30 September 2026, Europe generated a segment result of Rs 24.5 crore, down from Rs 43.5 crore in the corresponding prior-year half, while segment revenue increased to Rs 672.1 crore from Rs 536.4 crore.

At the group level, total segment result increased to Rs 182.6 crore in the September quarter from Rs 157.2 crore a year earlier. EAP contributed Rs 64.8 crore, AMESA Rs 59.7 crore and Americas Rs 53.5 crore, while unallocated segment result was a Rs 0.1 crore loss and inter-segment eliminations reduced the total by Rs 4.4 crore.

How did EPL's margin and profit change?

EPL’s operating margin narrowed to 18.39% in the September 2026 quarter from 20.89% a year earlier and 19.01% in the June 2026 quarter. The company defines operating margin as profit before exceptional items, depreciation and amortisation, finance cost and tax, less other income, divided by revenue from operations.

The half-year operating margin was 18.68%, compared with 20.70% in the half year ended 30 September 2025. In the September quarter, cost of materials consumed rose to Rs 703.8 crore from Rs 496 crore, employee benefits expense increased to Rs 292.8 crore from Rs 234 crore, and other expenses rose to Rs 308.3 crore from Rs 233.1 crore.

Profit before tax increased to Rs 152 crore from Rs 140.9 crore, while net profit after tax rose to Rs 110.9 crore from Rs 106.1 crore. Basic earnings per share increased to Rs 3.44 from Rs 3.26, but net profit margin declined to 7.03% from 8.71% as total income grew to Rs 1,577.4 crore.

Finance costs increased to Rs 32.8 crore from Rs 28.5 crore in the quarter. At 30 September 2026, EPL reported total assets of Rs 5,585 crore, compared with Rs 4,899.8 crore at 31 March 2026; its debt-equity ratio was 0.27 times, against 0.25 times at the financial year-end.

Conclusion

EPL’s September-quarter results show revenue growth across AMESA, EAP, Americas and Europe, lifting consolidated revenue by 30% to Rs 1,567.4 crore. However, the lower Europe segment result and higher reported expense lines coincided with a reduction in operating margin to 18.39%, even as profit after tax rose by Rs 4.8 crore year on year.

The next disclosed unresolved matter is EPL’s proposed merger of Indovida India Private Limited with EPL. The scheme, approved by the board on 29 March 2025, remains subject to shareholder and National Company Law Tribunal approval and other applicable conditions; EPL had incurred Rs 15.6 crore of merger-related cost in the year ended 31 March 2026.