Filatex India posts US137.5M Q2 revenue, funds recycling expansion

INDIA – Filatex India has reported standalone revenue from operations of ₹1,304.19 crore (US$137.5 million) for Q2FY27, an increase of 21.22% YoY, as the company advances its ₹300 crore (US$31.6 million) textile-to-textile recycling facility and ₹235 crore (US$24.8 million) polyester filament yarn expansion.

The company recorded profit after tax of ₹53.48 crore (US$5.6 million) for the quarter, up from ₹47.58 crore (US$5.02 million) in Q2FY26 and ₹49.14 crore (US$5.18 million) sequentially. 

EBITDA reached ₹91.03 crore (US$9.6 million), compared with ₹88.93 crore (US$9.38 million) a year earlier and ₹77.92 crore (US$8.22 million) in the previous quarter. 

EBITDA margin stood at 6.98%, down from 8.27% in Q2FY26, reflecting elevated raw material prices. 

For the half-year ended 30 September 2026, revenue was ₹2,449.49 crore (US$258 million) and profit after tax was ₹102.62 crore (US$10.8 million), against ₹2,125.33 crore (US$224 million) and ₹88.32 crore (US$9.31 million) respectively in H1FY26.

Capital Work In Progress Climbs to US$43.7M

Funding the expansion programme has significantly altered the balance sheet. Capital work in progress rose to ₹414.82 crore (US$43.7 million) at 30 September 2026 from ₹97.22 crore (US$10.3 million) at 31 March 2026, a jump of ₹317.60 crore (US$33.5 million). 

Total non-current assets increased to ₹1,865.84 crore (US$196.8 million) from ₹1,490.58 crore (US$157.2 million), while non-current borrowings climbed to ₹306.07 crore (US$32.3 million) from ₹58.99 crore (US$6.2 million). 

During the half-year, the company received ₹277.29 crore (US$29.2 million) in proceeds from long-term bank borrowings and repaid ₹23.58 crore (US$2.5 million). 

Purchases of property, plant and equipment reached ₹409.44 crore (US$43.2 million) in H1FY27, against ₹88 crore (US$9.28 million) in H1FY26.

Recycling Trials Advance With Global Brands

Trials of recycled polyester yarn continued in Q2FY27 under memoranda of understanding with American and Efird Global and Decathlon. 

The company said trials covered thread manufacturing and other applications, while approvals from several other global brands were at an advanced stage. 

The release did not identify those brands or quantify trial volumes, purchase commitments or potential sales. 

The ₹300 crore (US$31.6 million) Ecosis recycling project, designed for 26,750 tonnes per annum, remains in the final stage of execution with commissioning expected in Q3FY27.

Polyester Yarn Expansion Nears Completion

The balance of the ₹235 crore (US$24.8 million) polyester filament yarn expansion is due by end-November 2026, adding about 55,000 tonnes per annum in partially oriented, fully drawn and drawn textured yarn. Management said the added capacity would support product-mix improvement. 

Filatex also expects renewable-power sourcing to rise from about 26% to about 55% by January 2027. 

However, the company operates as a single segment under Indian Accounting Standard 108, meaning its financial statements do not provide separate segment information for recycling, yarn expansion or renewable power.

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