Huhtamaki India Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Huhtamaki India Ltd trades at ₹254, in a confirmed uptrend and 7 weeks into that stage. That is +14.4% against its own 200-day average. It sits at 60% of a 52-week range of ₹156 to ₹319. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 17 straight weeks.

Today the stock is in a confirmed uptrend — week 7 of stage 2, confirmed. At ₹254 it trades +14.4% versus its 200-day average and sits at 60% of its 52-week range (₹156–₹319).

Against the market, two honest reads. Cumulative: over the last 10.5 years the stock moved +17% while the NIFTY 500 moved +267% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 17 straight weeks — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Story check

Huhtamaki India Ltd's story is not scored yet against the markers our research file set on 22 August 2026. Where it sits in its own cycle: Not stated in the research file. Our fortnightly research layers last read it on 22 August 2026.

Our read, 22 August 2026. Flexible packaging company out of a 2024 margin trough; EBITDA margin recovered from 2.77% to 10% in six quarters via pricing and mix; PE at the 14th percentile of its own 10-year history; four cross-call management consistency failures reduce conviction.

From the numbers. Multiple compressed from 74.5x (Sep 2022 PE peak) to 15.2x (Aug 2026) over 17 quarters. EPS tripling from trough (Rs 6.2 TTM in CY24) to Rs 18.06 TTM contributed arithmetically, but the PE also de-rated in absolute…

From the price. Price stage 2, week 7 — above its 200-day line, relative strength rising.

From the research. Flexible packaging company out of a 2024 margin trough; EBITDA margin recovered from 2.77% to 10% in six quarters via pricing and mix; PE at the 14th percentile of its own 10-year history; four cross-call management…

🚨 Where they disagree. STRONG_OPPORTUNITY.

What is proven. Flexible packaging company out of a 2024 margin trough; EBITDA margin recovered from 2.77% to 10% in six quarters via pricing and mix; PE at the 14th percentile of its own 10-year history; four cross-call management consistency failures reduce conviction.

What is not proven yet. EBITDA margin falls back below 7% for two consecutive quarters after the Q3 2026 inventory normalization, because that would indicate the Q2 2026 margin expansion was driven by one-time customer inventory demand rather than structural mix and pricing improvement — removing the central thesis.

🚨 What would change our mind. EBITDA margin falls back below 7% for two consecutive quarters after the Q3 2026 inventory normalization, because that would indicate the Q2 2026 margin expansion was driven by one-time customer inventory demand rather than structural mix and pricing improvement — removing the central thesis.

Layer 1 read, 22 August 2026 — KEEP. It fixed profits by walking away from cheap customers, and is now cheap itself with no sales growth. Huhtamaki's operating margin collapsed to 2.77% in late 2024 and has climbed back to 10.02% by June 2026 under a new managing director who exited low-margin customers and held prices. That is a real repair, not an accounting one - operating profit went from Rs 118 crore to Rs 225 crore over the same span while sales actually FELL, and the balance sheet is now debt-free with borrowings cut from Rs 410 crore to Rs 145 crore. The share trades on 15 times earnings, near the bottom of its own range, 37% below its own peak and up only 27% in a year, so almost none of the recovery is in the price yet. The catches: sales have gone nowhere for six years and are 12.5% below the 2022 peak, management…

Layer 2 read, 22 August 2026 — ADVANCE. Sector-wide pricing power confirms the turnaround, but early customer buying keeps the position small. Huhtamaki's margin recovery is operating-led, and management says price, volume and mix each contributed roughly one-third of sales growth. External evidence confirms the mechanism because four packaging companies expanded margins while raw-material costs rose, but management also says some customer stock-building will unwind.

What would change Layer 2’s mind. Huhtamaki's operating margin falling below 7% for two consecutive quarters after customer inventories normalise would show that the external pass-through evidence did not protect its own earnings.

Layer 3 read, 22 August 2026 — BENCH. The turnaround works, but the next clean demand quarter and management delivery are still missing. Pricing and customer mix repaired profitability, while the balance sheet de-risked. The risk search aligns with Timeline R1 and R4: raw-material inflation is being passed through, but management cannot quantify how much customer inventory buying will reverse. Repeated guidance shifts and the delayed accounting-error disclosure keep management on WATCHLIST.

What would change Layer 3’s mind. DEPLOY would flip to DROP if operating margin stays below the Timeline's 7% break-point for two consecutive quarters after inventory normalization; a clean post-pre-buy quarter with stable margin would flip BENCH to DEPLOY.

The test written in advance. EBITDA margin falls back below 7% for two consecutive quarters after the Q3 2026 inventory normalization, because that would indicate the Q2 2026 margin expansion was driven by one-time customer inventory demand rather than structural mix and pricing improvement — removing the central thesis. — the thesis as written as stated by the next result.

The test written in advance. Customer inventory normalization reverses Q2 CY26 tailwind — Customer inventory normalization reverses Q2 CY26 tailwind Q3 CY26 revenue below Rs 600 Cr or OPM below 7% would indicate inventory reversal is material, not modest by the next result.

The test written in advance. Management credibility impaired across four verifiable consistency failures — Management credibility impaired across four verifiable consistency failures by the next result.

What the company does. Revenue has been flat at Rs 2,400–2,550 Cr for five calendar years; the investment case is entirely margin and earnings recovery, not revenue acceleration. OPM trough was 2.77% in Sep 2024 (Middle East cost spike + mix issues); by Jun 2026 it is 10.02%, with TTM EPS at Rs 18.06 vs Rs 9.86 a year prior. Multiple compressed from 74.5x (Sep 2022) to 15.2x; nil net debt; solar captive power due Q3 2026 for ~50% of Khopoli plant usage; but management has four verifiable cross-call narrative shifts.

🚨 What the surface reading misses. The surface reading is: OPM at 10% -- above mid-cycle, potential margin peak risk The research reads it further: OPM was at trough 2.77% in Sep 2024; recovery to 10% is driven by pricing pass-through and customer mix upgrade, not a cyclical peak. The 10-year OPM peak is 15.1%, so 10% is at the 67th percentile -- mid-to-upper cycle. The normalized OPM is 8.6%, only 140bps below current, meaning the cycle-normalized PE (14.6x) is only marginally different from the trailing PE (15.2x).

🚨 What the surface reading misses. The surface reading is: PE at 14th percentile of 10y history -- cheap buy signal The research reads it further: The multiple compressed from a peak of 74.5x (Sep 2022) to 15.2x -- an 81% de-rating over 17 quarters -- while EPS was simultaneously recovering from a trough. OPM is at the 67th percentile of own history (mid-to-upper cycle), so the cheap PE is NOT driven by trough earnings. The cycle-normalized verdict is FAIRLY_PRICED: normalized PE 14.6x at 13th percentile, only 1 point below the trailing read. The multiple itself de-rated relative to the historical median of 25.2x.

Lever 9 · Buyback — BUILDING. Monthly or quarterly index-linked pricing contracts with transparent inventory sharing allow EBITDA to recover as commodity costs stabilize; pricing offset most Middle East cost pressure in H1 CY26. What proves it keeps working: Input cost pass-through and pricing discipline. It stops working if Customers push back on index-linked pricing and switch to competitors offering unindexed contracts, or commodity deflation is so sharp that the company cannot reprice downward fast enough to retain customers.

Lever 2 · Value-added mix — BUILDING. New MD since Jan 2025 exited low-margin commodity segments; PAT improvement has come from OPM expansion, not revenue growth, confirming mix is the driver. What proves it keeps working: Customer and product mix upgrade toward value segments. It stops working if Flat revenue persists beyond CY27 despite mix shift, indicating the addressable premium segment is smaller than expected or the company cannot convert premium prospects.

Lever 5 · Regulatory approval — BUILDING. Solar captive generation pipeline due Q3 CY26, expected to supply ~50% of Khopoli plant power, reducing energy cost; delayed one quarter from original Q2 target with no explanation. What proves it keeps working: Solar captive power generation — Khopoli plant. It stops working if Solar pipeline is delayed beyond Q4 CY26, or the energy cost savings are below Rs 8 Cr annually, reducing the earnings impact to noise.

Lever 3 · Management change — BUILDING. Borrowings fell from Rs 410 Cr (Dec 2022) to Rs 145 Cr (Jun 2026); Rs 395 Cr of cash and liquid funds now accumulating; intercompany ECB repayment planned early. What proves it keeps working: Debt repayment and cash generation optionality. It stops working if Cash is deployed in a dilutive acquisition or poor-return capex project rather than organic modernization or returns to shareholders.

Sources: our stock research file (22 August 2026) · quarterly results through Jun 26 · the company’s own earnings calls. The story check is re-scored every results season; the record below never changes.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Huhtamaki India Ltd reported ₹750 Cr of revenue in the Jun 26 quarter, +22.5% year on year. That is the 3rd straight quarter of year-on-year growth. Over 10 years it has compounded at 7.9% a year. The last full year, FY25, came in at ₹2,469 Cr. The last four reported quarters add to ₹2,611 Cr.

FY25 revenue came in at ₹2,469 Cr (−2.1% on the year), capping 10 years at 7.9% compound. The latest quarter (Jun 26) printed ₹750 Cr, +22.5% year on year — the 3rd consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +4.9% growth against the decade's 7.9% — the current year is running slower than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +4.7% over the last 4 quarters against +1.9%/yr over the last 8 — stabilising; TTM profit +82.7% vs −43.2%/yr — accelerating.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Huhtamaki India Ltd's operating margin is 10.0% in the Jun 26 quarter, +3.0 percentage points against the same quarter a year ago. Across 14 fiscal years the operating margin has ranged 4.2% to 11.0%. The current quarter sits inside that band.

Why this happened. Revenue has been flat at Rs 2,400–2,550 Cr for five years, yet EBITDA has nearly tripled from its 2024 trough. The explanation is a deliberate customer and product portfolio shift. The company is not pursuing volume growth across all flexible packaging segments — it is concentrating on higher-value FMCG, home care, and export customers where it can command index-linked pricing and share-of-wallet expansion. The OPM trajectory from 2.77% to 10.02% in six quarters is the evidence that the mix shift is working. Exports at 30% of volumes add geographic diversification.

The latest quarter's operating margin is 10.0%, +3.0 pp against the same quarter a year ago. Across 14 fiscal years the operating margin has ranged 4.2%–11.0%.

Why the margin moved: operating margin went +3.1 pp year on year while gross margin went −0.6 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Huhtamaki India Ltd earned ₹44.0 Cr of net profit in the Jun 26 quarter, +76.0% year on year. Full-year FY25 profit was ₹118 Cr. The 10-year compound rate is 9.2%. That is 5.9% of the quarter's revenue. The same quarter a year earlier earned ₹25.0 Cr.

Jun 26 profit was ₹44.0 Cr, +76.0% year on year. On the full year, FY25 printed ₹118 Cr (+34.1%), and the 10-year compound rate is 9.2%.

Why profit moved: revenue contributed +22.5% and the margin +3.0 pp — the quarter was margin-led: most of the profit growth came from keeping more of each sale.

Pace comparison, last four quarters: profit +108.6% vs revenue +4.9%. Profit is growing faster than sales — fixed costs are being spread over a bigger base, and each extra rupee of revenue drops more to the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 106% of Huhtamaki India Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY25 that was ₹238 Cr of operating cash against ₹118 Cr of profit. After ₹53.0 Cr of capital spending, ₹185 Cr was left as free cash.

Why this happened. The capex inflection model applies: the company invested through a down-cycle (FY2022–FY2024 CWIP build), and the assets are now operational. Fixed assets grew from Rs 479 Cr (Dec 2022) to Rs 600 Cr (Jun 2026) while CWIP drained from Rs 131 Cr to Rs 8 Cr. Management describes productivity improvements as providing enough capacity for volume growth over the next couple of years without new capex. This creates a period of low-reinvestment cash generation.

FY25: operating cash of ₹238 Cr against reported profit of ₹118 Cr, leaving free cash of ₹185 Cr after ₹53.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 106% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 106%: the cash cycle tightened 12 days between FY20 and FY25 — cash that used to wait in the cycle now reaches the bank sooner.

Router verdict: the bigger cash user is investment — capital spending ran 1.8× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Huhtamaki India Ltd's cash conversion cycle runs 26 days in FY25, down from 38 days in FY20. Capital spending ran ₹273 Cr over the last 3 years. At FY25 sales of ₹2,469 Cr each day of that cycle holds about ₹6.8 Cr, so roughly ₹176 Cr sits inside the business at any moment.

FY25: debtors at 82 days, inventory at 46 days — roughly 1.5 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of 26 days, tighter than FY20's 38.

The full loop: cash goes out to suppliers and production on day 0; stock waits 46 days to sell; customers pay about 82 days after that; and suppliers themselves are paid at 102 days — netting out to the 26-day cycle.

In money terms: at FY25 sales of ₹2,469 Cr, each day of the cycle holds about ₹6.8 Cr — so the 26-day loop keeps roughly ₹176 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹273 Cr over the last 3 fiscal years against ₹148 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹35.0 Cr (FY25) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.⚠ unverified

Huhtamaki India Ltd earns a ROCE of 12% in FY25. That is up from a trough of 2% in FY21. Return on invested capital clears the cost of that capital by −0.3 percentage points, so growth here is not yet paying for the capital it uses. The wiring behind it is 4.8% net margin on 1.23× asset turns.

FY25 ROCE is 12%, recovered from a FY21 trough of 2% — the full ladder below shows the fall and the climb, undoctored.

🚨 Why the return is what it is — the wiring (FY25): 4.8% net margin × 1.23× asset turns × 1.55× balance-sheet leverage ≈ 9.2% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 11.7% − 12.0% = a −0.3 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Negative — growth at these returns destroys value until the returns recover.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.⚠ unverified

Huhtamaki India Ltd carries total debt of ₹145 Cr against shareholder equity of ₹1,349 Cr as of Jun 26, a debt-to-equity of 0.11 — effectively unlevered. On the annual view that ratio went from 0.57 in FY22 to 0.11 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Jun 26: total debt of ₹145 Cr against shareholder equity of ₹1,349 Cr — a debt-to-equity of 0.11. On the annual view, debt-to-equity went from 0.57 (FY22) to 0.11 (FY26). The returns on this page are earned, not borrowed.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of Huhtamaki India Ltd moved a full percentage point over the last two years — the register is quiet. Promoters moved +0.0 points over the same window, to 67.7%. The register is read on the four disclosed classes only; nothing is inferred between filings.

Why this happened. Huhtamaki's contracts reset monthly or quarterly against raw-material indices. When the Middle East crisis drove input cost inflation in Mar-Jun 2026, management locked in new pricing across all future orders by end of March. The result: EBITDA margin expanded from 8.3% (Q2 CY25) to 10.5% (Q2 CY26) despite double-digit commodity inflation. The pricing mechanism is not a one-quarter event — it has held through four consecutive quarters of margin improvement. The open question is whether H2 CY26 customer inventory normalization reduces volume enough to reverse the operating leverage benefit.

The register over the last two years — Foreign institutions: −0.7 points over 8 quarters to 0.7%; Promoters: +0.0 points over 8 quarters to 67.7%; Domestic institutions: +0.0 points over 8 quarters to 1.0%.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Huhtamaki India Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

Why this happened. The Khopoli plant is a major manufacturing site. Management guided in Feb 2026 that renewable energy would generate in Q2 CY26; the May 2026 call revealed only the formal agreement had been signed, with benefits deferred to H2 CY26. The Jul 2026 call revised the timeline again to Q3. The energy cost benefit has not been quantified by management. At ~50% of Khopoli power, the savings are likely Rs 8–15 Cr annually at current grid rates — meaningful but not transformative relative to Rs 137 Cr TTM PAT.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Huhtamaki India Ltd trades at 14.1× P/E, near the bottom of its own range — cheaper only 11% of the time. Its long-run median P/E is 25.1×, measured across 10.6 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 14.1× is near the bottom of its own range — cheaper only 11% of the time, against a long-run median of 25.1× measured over 10.6 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +34.3% against a +11.8% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the −0.7%/yr price move, ~+20.1%/yr came from earnings growth and ~−20.8 pp from the multiple (compressing); over 10y, of the −0.9%/yr price move, ~+6.3%/yr came from earnings growth and ~−7.2 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

The PEG ratio and its quarterly curve, which only the second data source carries, are not drawn on this page: its two data sources do not share enough overlapping reported history to be compared. A figure nobody could check is not used to price growth — the gap is a decision, not missing data.

What the price assumes This reading works the multiple backwards. It asks one question: what yearly rate of profit growth is a buyer at the market price already paying for? The number is the growth rate that makes eleven years of profit — six years growing, then five fading — add up to that day's market price, once each year is discounted at 11% a year.

Solved at its 25 August 2026 price, Huhtamaki India Ltd was paying for profit growth of about 7.9% a year. Profit itself has compounded 9.2% a year over the past 10 years. Today the market pays 14.1× P/E, the 11th percentile of its own 11-year range.

What the two numbers say together. The multiple is low against its own past, and the growth the price is paying for is close to what this company has actually delivered.

How to hold this number: it is a reading of one day's price, taken on 25 August 2026, not a running figure — every other number on this page, the multiple included, is read off the live quote as of 11 September 2026. A higher price is paying for more growth and a lower price for less, so it moves whenever the price does, and this page does not restate it between measurements.

Stage: Improving Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Huhtamaki India Ltd reads as improving on its fundamental arc. Improving — profit growth bottomed 5 quarters ago at −78.2% and has held its recovery at +82.7%, ROCE lifting at 12.0%. The read is built from 12 quarters across 4 curves, on partial evidence.

Why it matters: a sustained climb off the trough is the setup this page is built to catch — the question moves to what you pay for it.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

A partial read: at least one curve is short, or the returns curve is not the computed quarterly series — hold the stage word a little more loosely.

4-Factor Sector Score

62.4/100 — rank 1 of 6 in Packaging - FMCG/Consumers · 81% evidence confidence

Huhtamaki India Ltd scores 62.4 out of 100 against the 6 companies it is compared with in Packaging - FMCG/Consumers, ranking 1. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 26.9 + 7.8 + 14.1 + 13.6 = 62.4. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Said versus delivered

What Huhtamaki India Ltd's management promised, set against what actually arrived — 4 tracked promises on the record. Read straight from the company’s own earnings calls. A promise that slipped stays on this page after it is met.

Renewable Energy Project Delayed Versus Earlier Target · 27 July 2026. In Feb 2026, management expected the renewable electricity project to begin generating energy in Q2 2026. In Jul 2026, the project was instead described as coming online in Q3, representing a meaningful timeline shift that was not explained on the latest call.

Changed Explanation for Q2 Growth Quality · 27 July 2026. In May 2026, management characterized the crisis-related volume activity as panic ordering that was already stabilizing and said underlying demand was growing as usual. In Jul 2026, management attributed part of Q2's sales tailwind to customer inventory buildup caused by the Middle East crisis, with some of that benefit expected to reverse, materially changing the assessment of how sustainable the reported growth is.

🚨 Renewable Energy Project Timeline Slippage · 13 May 2026. In the Feb 2026 call, management described a renewable electricity project as already underway and progressing steadily toward energy generation in Q2 CY26 (April-June 2026). However, the May 2026 call - already within Q2 CY26 - revealed that a formal agreement for the solar captive electricity project had only just been signed and executed, with going-live expected in the next few months and benefits deferred to the second half of CY26. This represents a delay of at least one to two quarters versus the timeline communicated in February 2026, with no explanation provided for the slippage.

Undisclosed Prior-Year Depreciation Error Underlying the Profit Improvement Narrative · 13 May 2026. Both the Oct 2025 and Feb 2026 calls cited sequential EBIT gains and an 83% full-year PBT increase as evidence of structural profitability improvement, without any disclosure of a depreciation calculation error spanning CY2024 and CY2025. The May 2026 call disclosed an 88 million INR charge to correct depreciation that had been understated across those two prior years due to use of the WDV method instead of the required SLM method. Since neither prior call flagged this error, the margin improvement trajectory management used to build its investment case was based on overstated profitability metrics in both periods.

Every quote above is taken word for word from the company’s own earnings calls.

Frequently asked questions