Mold-Tek Packaging Surges More Than 8%, Outshines in Bear Market; Declares Dividend of ₹2

Hyderabad, July 28, 2025 – Mold-Tek Packaging Ltd (NSE: MOLDTKPAC, BSE: 533080) rose nearly 9% on July 28, hitting a record high despite broader market weakness. The surge followed strong Q1FY26 results, with net profit up 35.5% YoY and a ₹2 final dividend declared, taking total FY25 payout to ₹4 per share.

The share’s resilience reflects strong earnings visibility rather than short-term trends. High-margin pharma packaging demand, volume momentum across verticals, and rising EBITDA/kg underpin confidence. Its cost-plus contracts and in-house IML automation further support margin stability amid a bear-hit market environment.

As of market close on July 28, the stock ended at ₹765.00, up 3.23% from the previous close of ₹741.05. It hit an intraday high of ₹804.15, reflecting an 8.52% spike, before closing below the VWAP of ₹775.07.

Financial Highlights (₹ in crore)

Mold-Tek Packaging reported net sales of ₹240.55 crore in Q1 FY26, up 22.28% YoY and 18.73% sequentially. EBITDA rose 29.21% YoY to ₹47.38 crore, aided by improved product mix and higher-margin segments. Net profit stood at ₹22.40 crore, marking a 35.5% YoY jump. Sales volume rose 15% YoY to 11,378 MT. EBITDA per kg improved to ₹41.64 from ₹37.06 last quarter, reflecting better capacity utilisation and growth in pharma packaging.

Strategic and Operational Highlights

Printing capacity bottlenecks were resolved with new machinery, and operations shifted under one roof for cost control. New client wins across verticals, including Marico, Laurus Labs, and Veedol, added to topline visibility. Several pharma SKUs entered trial or approval stages, underlining future growth. The company is also leveraging in-house IML robot design capabilities to reinforce its leadership in rigid plastic packaging.

Dividend Announcement

The board recommended a final dividend of ₹2 per share for FY25, following an earlier interim payout of ₹2, taking the total to ₹4 per share on a face value of ₹5.

Outlook

Backed by strong Q1 execution and rapid scaling of its pharma vertical, Mold-Tek is poised to sustain growth. Its integrated operations, automation focus, and client additions across verticals support forward earnings visibility in a cost-sensitive packaging landscape.

About Mold Tek

Mold-Tek Packaging Ltd is a leader in rigid plastic packaging in India, catering to paints, lubricants, FMCG, and pharmaceuticals. It pioneered In-Mold Labeling (IML) and is the only player designing IML robots in-house, offering custom, automation-driven packaging to marquee clients across the country.

REF: https://www.bseindia.com/xml-data/corpfiling/AttachLive/cbd11de4-2a80-4b32-96b8-43169d43d324.pdf

Disclaimer:  At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations