Xpro EBITDA fell as capacity assets expanded sharply in FY26

Xpro reported consolidated EBITDA of Rs 47.4 crore in FY26, down from Rs 74.4 crore in FY23, while property, plant and equipment plus capital work-in-progress reached Rs 649.7 crore at March 2026. Revenue from operations was Rs 505.5 crore in FY26, compared with Rs 511.0 crore in FY23.

Why did Xpro’s EBITDA fall despite similar revenue?

Xpro’s EBITDA fell because gross profit declined from FY23 and operating expenses increased over the four-year period. Revenue from operations moved from Rs 511.0 crore in FY23 to Rs 465.4 crore in FY24, rose to Rs 535.3 crore in FY25, and ended FY26 at Rs 505.5 crore. Gross profit was Rs 154.5 crore in FY26, above Rs 152.5 crore in FY25 but below Rs 160.9 crore in FY23.

Employee-benefit expense increased to Rs 37.6 crore in FY26 from Rs 30.1 crore in FY23, while other expenses rose to Rs 69.5 crore from Rs 56.4 crore. These two expense lines totalled Rs 107.1 crore in FY26, versus Rs 86.5 crore in FY23. EBITDA margin consequently fell to 9.4% from 14.6%, although it was unchanged from FY25.

Xpro defines EBITDA as excluding other income. Profit for the year declined to Rs 19.6 crore in FY26 from Rs 45.4 crore in FY23, while other income was Rs 2.4 crore in FY26 compared with Rs 18.9 crore in FY25. Finance costs rose to Rs 7.5 crore from Rs 5.9 crore in FY25, and Xpro says deferred-tax accounting means profit-after-tax figures are not directly comparable to performance.

How much did Xpro’s asset base grow during the build-out?

Xpro’s property, plant and equipment and capital work-in-progress totalled Rs 649.7 crore at March 2026, compared with Rs 153.4 crore at March 2023. Property, plant and equipment rose to Rs 350.2 crore from Rs 150.8 crore, while capital work-in-progress increased to Rs 299.5 crore from Rs 2.6 crore. Total consolidated assets grew to Rs 1,218.3 crore from Rs 340.1 crore.

The asset increase coincided with Xpro’s dielectric-film expansion programme. Management says the new dielectric-film line at Barjora, West Bengal, was commissioned in March 2026 and doubled India nameplate capacity. At the time of the presentation, the line was ramping up and supplying customers in India and abroad.

The accounts do not allocate the Rs 299.5 crore of capital work-in-progress at March 2026 between the Barjora project and the UAE line. Inventories rose to Rs 72.8 crore from Rs 47.3 crore between March 2023 and March 2026, while trade receivables increased to Rs 69.2 crore from Rs 51.0 crore. Cash and cash equivalents stood at Rs 95.8 crore, with other bank balances of Rs 204.6 crore at March 2026.

How did Xpro fund its investment programme?

Xpro funded the investment period through a higher equity base, borrowings and financing cash inflows. Combined non-current and current borrowings rose to Rs 288.8 crore at March 2026 from Rs 36.1 crore at March 2023. Non-current borrowings were Rs 244.3 crore at March 2026, while current borrowings were Rs 44.5 crore.

Total equity increased to Rs 798.4 crore at March 2026 from Rs 233.6 crore at March 2023. Other equity was Rs 736.2 crore, compared with Rs 215.4 crore three years earlier, and non-controlling interest was Rs 38.7 crore at March 2026. In its September 30, 2026 capital update, Xpro reported net worth of Rs 729.4 crore and said Rs 64.3 crore of raised capital was held in banks pending utilisation.

Cash-flow data show that investing outflows exceeded operating inflows in FY24, FY25 and FY26. Net cash used in investing activities was Rs 161.0 crore in FY26, after Rs 113.4 crore in FY25 and Rs 320.2 crore in FY24. Net cash from financing activities was Rs 150.7 crore in FY26, following Rs 202.8 crore in FY25 and Rs 277.6 crore in FY24.

Operating cash flow was Rs 20.4 crore in FY26, compared with Rs 44.0 crore in FY24 and Rs 82.9 crore in FY23. Working-capital changes used Rs 18.9 crore in FY26, after using Rs 28.3 crore in FY25. Cash and cash equivalents decreased to Rs 95.8 crore at March 2026 from Rs 103.7 crore at March 2025.

What capacity milestones has Xpro disclosed next?

Xpro says its next dielectric-film line at its Ras Al Khaimah subsidiary in the UAE was at an advanced stage of installation and was expected to commission during the current year. Management says the line is intended to add scale, geographic flexibility and proximity to global customers. The presentation does not disclose a specific commissioning month, capital cost or production-capacity figure for the UAE line.

Dielectric films are Xpro’s strategic focus, according to management, and receive the larger share of its investments. Xpro says it meets about one-third of Indian demand for dielectric biaxially oriented polypropylene, or BOPP, films, while much of the remaining demand is imported. The group also says it is expanding capacity at Greater Noida for coextruded sheets and cast films, without disclosing a project cost, commissioning date or utilisation target.

Conclusion

Xpro’s FY26 results show a larger asset base alongside lower operating profitability: revenue of Rs 505.5 crore was close to FY23 revenue of Rs 511.0 crore, but EBITDA declined by Rs 27.0 crore and the EBITDA margin fell by 5.2 percentage points. Over the same period, property, plant and equipment plus capital work-in-progress increased by Rs 496.3 crore, while combined borrowings rose by Rs 252.7 crore.

The next disclosed event is the expected commissioning of the UAE dielectric-film line during the current year, following the March 2026 commissioning of Barjora. Investors can watch for the pace of Barjora ramp-up, the UAE installation outcome, and changes in the Rs 299.5 crore capital work-in-progress balance, borrowing and operating cash flow as Xpro executes its capacity plan.