Andhra Paper Reports Higher Q1 FY27 Profit as Kadiyam Operations Begin Recovering

Andhra Paper Limited has reported a sharp increase in profitability for the quarter ended June 30, 2026, with net profit rising to ₹303.16 million from ₹213.05 million in the corresponding quarter of the previous year. Revenue from operations remained broadly stable at ₹3,937.71 million, compared with ₹3,934.21 million a year earlier. The company's Board of Directors approved the unaudited financial results at its meeting held on August 4, 2026, and also took on record the statutory auditors' limited review report.

Profit before tax increased to ₹405.46 million, compared with ₹291.69 million in the year-ago period. Total income stood at ₹4,154.26 million, while total expenses were ₹3,748.81 million during the quarter. Earnings per share improved to ₹1.52, up from ₹1.07 in the corresponding quarter of FY26.

The company reported:

• Revenue from operations: ₹3,937.71 million (Q1 FY26: ₹3,934.21 million)

• Total income: ₹4,154.26 million

• Profit before tax: ₹405.46 million

• Net profit after tax: ₹303.16 million

• Total comprehensive income: ₹358.68 million

• Basic and diluted EPS: ₹1.52 per share.

Andhra Paper stated that its Kadiyam Unit was temporarily suspended from April 27, 2026, following an illegal strike by a section of contract workers. The company declared a lockout on May 1, 2026, which was revoked on May 29, 2026. Manufacturing operations partially resumed on July 15, 2026, after the majority of workers returned to duty. The company said the facility is currently operating at approximately 93% of its normal capacity and it continues to take measures to restore full operations and normalize production.

The company said it operates in a single business segment comprising the manufacture and sale of pulp, paper and paperboards. The financial results were reviewed by the Audit Committee, approved by the Board, and accompanied by an unmodified limited review report issued by statutory auditor MSKA & Associates LLP, which stated that nothing had come to its attention indicating that the financial statements were materially misstated.

Key Financial Highlights (Q1 FY27)

• Revenue from operations: ₹3,937.71 million

• Total income: ₹4,154.26 million

• Profit before tax: ₹405.46 million

• Net profit: ₹303.16 million

• EPS: ₹1.52

• Kadiyam Unit operating at approximately 93% of normal capacity after partial resumptio