India’s packaging sector is witnessing rapid growth, valued at approximately USD 84 billion in 2024 and projected to reach USD 143 billion by 2029. Driven by booming e-commerce, rising consumer demand, and innovation in flexible packaging, the industry is expanding at an impressive CAGR of 11%, making it a major contributor to India’s economy.

With a market capitalization of Rs 2,355.93 crore, the shares of Mold-Tek Packaging Ltd were trading at Rs 709.00 per share, increasing around 0.41 percent as compared to the previous closing price of Rs 706.10 apiece.

Future Outlook

Mold-Tek is targeting 12–15% volume growth for FY26, with expectations of similar momentum in FY27. Rising capacity utilization is likely to boost margins from the previous 37–38% range to the 40% level. This reflects operational efficiency improvements and growing demand across its key segments, particularly in the packaging and paint industries.

The paint packaging division remains strong, supported by consistent volumes and increasing orders from the Aditya Birla Group. Additionally, a recent deal between JSW Paints and Akzo Nobel, already a Mold-Tek client, may unlock new opportunities with JSW. Currently, ABG uses 500–600 tonnes monthly out of Mold-Tek’s 1,800 -1,900 tonne dedicated capacity.

Financial & Operational Highlights

Mold-Tek Packaging Limited is engaged in the manufacturing of injection molded containers for lubes, paints, food, and other products. It operates through the packaging containers segment. The Company’s products include paint packaging, lubricant packs, food containers, bulk packaging, and dispenser pumps & sanitizer containers.  

Looking forward to the company’s financial performance, revenue increased by 15 percent from Rs 177 crore in Q4FY24 to Rs 203 crore in Q4FY25. Further, during the same time frame, net profit decreased by 11 percent from Rs 18 crore to Rs 16 crore.

Mold-Tek’s paints segment rebounded with 6.8% volume growth in FY25 and expects 10% growth in FY26, supported by ABG’s capacity expansion and Asian Paints’ IML adoption. IML/HTL tonnage rose to 75.5% in Q4. RCPB(Recycled Polymer) usage reached 6,000 tons amid volatile pricing. Segment EBITDA per kg remained stable at  Rs 30–32, reflecting margin resilience.

Mold-Tek plans a capex of Rs 140 crore in FY25, above earlier guidance focused on pharma, printing, and paint capacity expansion. FY26 capex is guided at  Rs 70–80 crore. Key allocations include  Rs 20–25 crore for pharma machinery/buildings,  Rs 10 crore for land, and  Rs 15 crore for the Mahad plant. The company benefits from high-capacity fungibility across multiple product segments.

Written by Abhishek Singh

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