Nahar Poly Films Limited, originally incorporated as Nahar Investments and Holding Limited on November 11, 1988, was subsequently renamed to Nahar Poly Films Limited on July 15, 2011. Promoted by the Oswals and their Associates, the company is primarily engaged in the manufacturing of Biaxially Oriented Polypropylene Films (BOPP). Nahar Poly Films is headquartered in Ludhiana, India.
The company is a leading manufacturer of transparent and metalized flexible packaging films, serving over 200 customers across India. Its manufacturing facility, located in Mandideep near Bhopal, India, houses two world-class 8.7-meter BOPP production lines from Bruckner. This strategic location provides easy access to both Mumbai seaports and the dry port in Mandideep.
Nahar Poly Films' primary business focus is on BOPP film manufacturing, marking a significant shift from its earlier operations. Initially, the company manufactured and exported cotton hosiery garments and knitwear, then established a spinning unit in August 1992. In 2007, it diversified into Biaxially Oriented Polypropylene Films (BOPP) with an investment of approximately Rs. 300 crores in a project in Madhya Pradesh, which commenced operations on May 20, 2010.
The company manufactures both metalized and unmetallized films, including sealable and non-sealable variants. Its newer production line is a high-performance 5-layer BOPP line equipped with an inline coating facility. The manufacturing setup also includes two state-of-the-art Metallizers with 2.45-meter and 2.85-meter widths, respectively.
Nahar Poly Films' BOPP films are produced in various grades and thicknesses, finding applications in laminations, reverse printing, packaging, decoration, tapes, and textile bags. The company enhanced its production capacity by starting commercial production of an additional BOPP film plant in February 2022, increasing the total installed capacity to 60,000 tonnes per annum.
As of May 16, 2025, Nahar Poly Films Ltd has a market capitalization of ₹549.52 crores. The company reported operating revenue of Rs. 662.40 crores on a trailing 12-month basis. However, it experienced an annual revenue decline of 16%.
Recent quarterly performance shows mixed results:
- Q3 FY2024-25 (Ended December 2024):
- Net Profit: Rs. 7.51 crores (compared to a net loss of Rs. 5.20 crores in Dec 2023)
- Sales: Rs. 172.95 crores (up 12.58% from Rs. 153.62 crores in Dec 2023)
- Q2 FY2024-25 (Ended September 2024):
- Net Profit: Rs. 17.40 crores (up 42.86% from Rs. 12.18 crores)
- Sales: Rs. 168.58 crores (up 23.04% from Rs. 137.01 crores)
Key financial metrics indicate areas requiring attention and strengths:
- Return on Equity (ROE): 0.72% for the last reported financial year (low).
- Pre-tax margin: -2% (needs improvement).
- Debt to equity ratio: 13% (healthy balance sheet).
- Current dividend yield: 0.45%.
- Market Capitalization: ₹549.52 crores (as of May 16, 2025).
- Trailing 12-month Operating Revenue: ₹662.40 crores.
- 52-week High: ₹372
- 52-week Low: ₹167.30
- Price-to-Earnings (P/E) ratio: 96.75 (indicating high market valuation relative to earnings).
- Price to Book Value: 0.63 times (indicating potential value opportunity).
Over the last 5 years, the company has achieved revenue growth at a yearly rate of 17.98%, significantly outperforming the industry average of 3%. Market share has also increased from 0.19% to 0.35% during this period.
The company's promoters include Jawahar Lal Oswal, Dinesh Gogna, Kamal Oswal, Sambhav Oswal, S K Sharma, Dinesh Oswal, Anchal Kumar Jain, Manisha Gupta, Roshan Lal Behl, Rajan Dhir, Prem Lata Singla, and Dr. Pankaj Goel. Promoter holding in the company stands at 72.2%.
Nahar Poly Films maintains transparency in governance with regular board meetings and compliance with regulatory requirements. Recent board meetings have been scheduled for strategic decisions including financial results announcements and dividend declarations.
Nahar Poly Films has successfully reduced its debt burden and is trading at 0.63 times its book value, indicating a potential value opportunity. The company has maintained a healthy dividend payout ratio of 19.8% and improved working capital efficiency from 51.7 days to 38.1 days.
However, investors should note that the company has shown a low return on equity of 6.10% over the last three years, which presents challenges for profitability improvement. Despite this, its strong positioning in the packaging industry and modern manufacturing capabilities provide a solid foundation for future growth, supported by an established customer base and state-of-the-art production facilities.
