AGI Greenpac Ltd Q4 FY25: Strong Growth, Strategic Expansion & Clean Governance
AGI Greenpac Ltd (formerly HSIL Ltd), a leading player in the consumer packaging industry, has recently issued a clarification to the NSE regarding its financial statements for Q4 FY25. In addition to the clarification, the company released its audited consolidated and standalone financial results, showcasing a robust operational and financial performance. Here's a detailed summary and insights for investors.
š NSE Clarification ā Why Are Standalone and Consolidated Results Identical?
- AGI clarified that two subsidiariesāAGI Retail Pvt Ltd (India) and Sun Reach Pack (FZE) (UAE)āwere incorporated during FY25.
- Minimal financial activity in these subsidiaries led to negligible impact (ā¹2.27 lakh), resulting in consolidated and standalone figures appearing the same (rounded off in crores).
- Differences of ā¹0.02 crore were observed due to rounding in P&L, balance sheet, and cash flow.
š FY25 Financial Performance Highlights
- Revenue: ā¹2,528.82 Cr (up from ā¹2,417.60 Cr YoY)
- Net Profit: ā¹322.44 Cr (ā28.3% YoY)
- EBITDA: ā¹688.69 Cr (ā17.1% YoY)
- EPS: ā¹49.83 (vs ā¹38.85 in FY24)
- Dividend: ā¹7 per share (350% on ā¹2 FV), pending shareholder approval
šø Cash Flow & Financial Position
- Operating Cash Flow: ā¹428.54 Cr
- CapEx + Investment Outflow: ā¹442.49 Cr
- Total Assets: ā¹3,496.21 Cr
- Net Worth: ā¹2,097.75 Cr
- Total Borrowings: ā¹551.95 Cr
- Debt-to-Equity: 0.26x (very healthy)
šļø Operational & Strategic Updates
- Received ā¹21.04 Cr in subsidy under Telangana Govtās mega project policy.
- Established new subsidiaries to expand into retail and export segments.
- Key business units include AGI Glaspac, AGI CloZures, and AGI Plastek.
š”ļø Governance & Compliance
- Audit Status: Clean (Unmodified) Audit Report by Lodha & Co LLP
- New Appointments:
- DMK Associates as Secretarial Auditor (FY26āFY30)
- Protiviti India as Internal Auditor for FY26
- Machine-readable financials re-submitted to the NSE.
š Credit Rating & Compliance
- Long-Term: CARE AA-
- Short-Term: CARE A1+
- AGI Greenpac is not classified as a large corporate as per SEBI criteria.
š CFA View: Is AGI Greenpac a Good Buy?
Pros:
- Consistent growth in topline and bottom-line
- Low leverage, healthy cash flows
- Clean and transparent governance
- Proactive strategic expansion
Cons:
- Minimal contribution from new subsidiariesāyet to scale
- Decline in cash reserves due to high CapEx and investments
Verdict: BUY/HOLD ā For long-term investors, AGI Greenpac offers a solid mix of growth, governance, and sectoral leadership in packaging and glass products. It remains an attractive stock in the mid-cap manufacturing space.
Disclaimer: This blog is for informational purposes only and does not constitute investment advice. Investors are advised to do their own research or consult a financial advisor before making any investment decisions.
