Emami Paper Mills Limited (EPML), incorporated in 1981 and based in Kolkata, India, is a prominent entity within the Emami Group. The company specializes in the manufacturing of newsprint, writing and printing paper, and Multilayer Coated Board. It holds the distinction of being India's largest newsprint producer and the sole manufacturer in Eastern India, solidifying its significant position in the Indian paper industry through strategic positioning and robust manufacturing capabilities.
EPML operates four paper manufacturing units located across India in West Bengal, Karnataka, Telangana, and Andhra Pradesh. The company employs a total of 2,901 individuals. Its operational footprint extends across multiple states, enabling efficient service to diverse regional markets and maintaining cost-effective distribution networks.
Emami Paper Mills offers a diverse range of paper and paper products. This includes newsprint, writing and printing paper, and multilayer-coated board, which finds applications in the pharmaceutical, healthcare, fast-moving consumer goods (FMCG), consumer durable goods, and food product industries. The company's product line further encompasses packaging board, kraft paper, and specialty papers.
Key brands under its umbrella include Emami Paper, Emami Kraft, Emami Art, and Emami Cone. EPML stands as the largest producer of high-grade paperboard in India, boasting a capacity exceeding 600 tons per day. It is also recognized as the country's largest producer of writing and printing paper. The company leverages state-of-the-art paper manufacturing facilities equipped with the latest technology to ensure the production of high-quality products.
Key Financial Highlights (FY25 and Q4 FY25)
Based on the latest financial data as of March 2025:
Annual Performance (FY25):
- Sales declined 3.30% to Rs 1928.04 crore in the year ended March 2025, compared to Rs 1993.84 crore in the previous year ended March 2024.
- Net profit declined 69.15% to Rs 26.01 crore in the year ended March 2025, compared to Rs 84.30 crore in the previous year ended March 2024.
Quarterly Performance (Q4 FY25):
- Net profit for Emami Paper Mills declined 85.58% to Rs 3.92 crore in the quarter ended March 2025, as against Rs 27.19 crore during the previous quarter ended March 2024.
- Sales declined 1.97% to Rs 474.95 crore in the quarter ended March 2025, compared to Rs 484.47 crore during the previous quarter ended March 2024.
- The Board of Directors, at a meeting held on May 20, 2025, recommended a final dividend of Rs 1.6 per equity share (80%), subject to shareholder approval.
Market Capitalization and Valuation Metrics
- Emami Paper Mills Ltd has a market capitalization of ₹ 609 Cr as on July 15, 2025.
- As per Value Research classification, it is a Small Cap company.
- Key Ratios (as of July 15, 2025):
- P/E ratio: 23.42 times (31% premium to peers' median of 17.94 times).
- P/B ratio: 1.19 times (27% premium to peers' median of 0.94 times).
- Dividend Yield: 1.60.
The 52-week high for Emami Paper Mills Ltd (EMAMIPAP) is ₹147.50, and the 52-week low is ₹82.51. The stock has experienced notable volatility over the past year, influenced by market conditions and company-specific factors.
Recent Performance Trends:
- Last 12 Months: Share price moved down by 26.11% on BSE.
- Last 3 Years: Share price moved down by 30.23% on BSE.
- Last 3 Months: Share price moved up by 10.59% on BSE.
The company exhibits several operational strengths within the competitive paper manufacturing sector. EPML has maintained its dominance as the lowest-cost and highest-quality newsprint manufacturer, achieving plant capacity utilization exceeding 100%. It has also successfully extended its market presence in the Multi-Layer Coated Board segment. These efficiencies highlight the company's manufacturing excellence and cost management capabilities.
However, the company faces certain challenges, as suggested by recent financial metrics. EPML has delivered a poor sales growth of 4.94% over the past five years. It also reports a low return on equity of 11.7% over the last 3 years and a low interest coverage ratio. These metrics indicate areas requiring focus for improvement to enhance shareholder returns.
Emami Paper Mills serves business-to-business (B2B) customers, including leading printers/converters, brands, end-use customers, and Indian media houses, as well as retail and institutional consumers. The company also engages in product exports. This diversified customer base contributes to stability and reduces reliance on any single market segment.
As a leader in the paper industry, EPML's products are widely utilized across various sectors such as packaging, printing, and publishing. These essential economic sectors provide a relatively stable demand profile for the company's offerings, even amidst cyclical economic variations.
Promoter holding in Emami Paper Mills Ltd has remained stable, standing at 74.98% as of March 2025, consistent with the 74.98% recorded in June 2024. This stable promoter holding signifies strong management commitment and confidence in the company's long-term prospects. Importantly, there is no promoter pledging for Emami Paper Mills Ltd.
- A Board meeting is scheduled for July 29, 2025, to approve the Q1 un-audited financial results. The trading window has been closed in anticipation of this announcement.
- The 43rd Annual General Meeting (AGM) of the company will be held on September 3, 2025.
These upcoming events are expected to provide updated insights into the company's quarterly performance and strategic direction.
The company operates in a competitive landscape alongside established players. Its key competitors include West Coast Paper Mills, Seshasayee Paper & Boards, Ganga Papers India, NR Agarwal Industries, and JK Paper, among others. Despite competitive pressures, Emami Paper Mills' position as India's largest newsprint producer offers distinct advantages in terms of scale and market presence.
