TCPL Packaging: Boxing Up the Future
Brokerage Free Team •February 15, 2025 | 5 min read • 5211 views
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Brokerage Free Team •February 15, 2025 | 5 min read • 5211 views
Introduction
In the dynamic landscape of packaging, TCPL Packaging Limited stands out as a leader in India, renowned for its innovative and sustainable solutions. Serving a diverse array of industries—including Fast-Moving Consumer Goods (FMCG), food and beverages, pharmaceuticals, and consumer durables—TCPL has consistently demonstrated a commitment to quality and technological advancement.
Established in 1990, TCPL Packaging has evolved into one of India's foremost manufacturers of folding cartons, flexible packaging, and corrugated boxes. The company operates multiple state-of-the-art manufacturing facilities strategically located across the nation, enabling it to efficiently serve both multinational and domestic brands. This extensive infrastructure ensures the delivery of high-quality packaging solutions that enhance product appeal and shelf life.
TCPL Packaging's diverse product offerings include:
Folding Cartons: Utilized across industries such as FMCG, pharmaceuticals, and consumer goods, these cartons offer structural integrity and ample space for branding.
Flexible Packaging: Comprising laminates, pouches, and sachets, these solutions maintain product freshness and provide user convenience.
Corrugated Boxes: Designed for industrial and bulk packaging, these boxes ensure durability and protection during transit.
Rigid Boxes: Premium packaging solutions tailored for luxury products, enhancing perceived value.
Specialized Packaging: Incorporating security and anti-counterfeiting features to guarantee product authenticity.
TCPL Packaging has exhibited robust financial growth, underscored by the following key metrics:
| Market Cap | ₹ 3,171 Cr. | Book Value | ₹ 635 | Face Value | ₹ 10.0 | Return over 5years | 65.00% | OPM | 16.90% |
| Current Price | ₹ 3,485 | Dividend Yield | 0.63% | Promoter holding | 55.70% | Price to book value | 5.49 | Profit after tax | ₹ 135 Cr. |
| High / Low | ₹ 3,830 / 1,902 | ROCE | 20.10% | Return over 10years | 21.80% | Return over 1year | 54.20% | Debt to equity | 1.01 |
| Stock P/E | 23.5 | ROE | 21.40% | Industry PE | 23.4 | Return over 3years | 77.30% | ||
| Time | TCPL Packaging | Nifty50 Returns | Sensex Returns | Industry Returns | Sector Returns |
| 1 Day | 8.54% | -0.44% | -0.26% | -1.64% | -3.45% |
| 1 Week | 5.79% | -2.68% | -2.47% | -4.12% | -7.54% |
| 1 Month | 10.57% | -1.06% | -0.73% | -5.54% | -4.91% |
| 3 Months | 9.62% | -2.56% | -2.12% | -6.11% | -9.73% |
| 6 Months | 16.57% | -5.03% | -4% | 6.07% | 20,589.44% |
| 1 Year | 55.45% | 4.99% | 5.73% | 31.26% | 21,614.66% |
| 3 Year | 505.52% | 36.14% | 34.63% | 156.72% | 4,456.89% |
| 5 Years | 1,095.66% | 89.29% | 84.06% | 754.85% | 9,578.46% |
| 10 Years | 437.77% | 160.4% | 161% | 685.69% | 27,698.3% |
| Indicator | CAGR 3 Yrs | CAGR 5 Yrs | TTM | Mar '24 | Mar '23 | Mar '22 | Mar '21 | Mar '20 |
| Total Rev. Ann. | 18.2% | 12.9% | 1689.4 | 1497.8 | 1441.8 | 1078.4 | 906.4 | 891.9 |
| Operating Exp. Ann. | 17.1% | 11.7% | 1387.6 | 1237 | 1196.2 | 919.5 | 770.1 | 763.8 |
| Operating Profit Ann. | 23% | 19% | 268.2 | 249 | 235.7 | 156.5 | 133.7 | 126 |
| OPM Ann. % | 4.1% | 5.4% | 16.62% | 16.35% | 14.51% | 14.75% | 14.13% | |
| Total Exp. Ann. | 16.5% | 11.8% | 1356.8 | 1300.8 | 1008.2 | 858.8 | 849.6 | |
| EBIDT Ann. | 24.2% | 19.8% | 260.9 | 245.7 | 158.9 | 136.3 | 128.1 | |
| EBIDT Ann. margin % | 5% | 6.1% | 17.42% | 17.04% | 14.73% | 15.04% | 14.36% | |
| Interest Ann. | 11.9% | 13% | 53.9 | 52.1 | 43.6 | 33.4 | 37.2 | 37.4 |
| Depr. | 9.5% | 13.7% | 73 | 67.7 | 61 | 55.3 | 51.5 | 48.4 |
| PBT Ann. | 43.6% | 27.6% | 175 | 141 | 158.4 | 70.2 | 47.6 | 42.3 |
| Tax Ann. | 35.4% | 22.1% | 38.8 | 34.5 | 40.8 | 21 | 13.9 | 5.8 |
| PAT Before ExtraOrdinary Items Ann. | 46.7% | 29.7% | 106.5 | 117.5 | 49.3 | 33.7 | 36.5 | |
| Net Profit Ann. | 46.7% | 29.7% | 136.2 | 106.5 | 117.5 | 49.3 | 33.7 | 36.5 |
| NPM Ann. % | 24.3% | 15.1% | 7.16% | 8.20% | 4.57% | 3.73% | 4.10% | |
| EPS Adj. latest Ann. | 46.7% | 29.8% | 117.1 | 129.2 | 54.1 | 37.1 | 40.1 |
The Indian packaging industry is poised for significant growth, influenced by several key trends:
Rising Consumer Demand: Urbanization and changing lifestyles are propelling the consumption of packaged goods.
Sustainability Focus: A shift towards eco-friendly packaging solutions is opening avenues for innovation.
E-commerce Expansion: The surge in online shopping necessitates durable and aesthetically pleasing packaging.
Regulatory Changes: Enhanced environmental regulations are encouraging the adoption of sustainable and biodegradable materials.
Technological Advancements: The integration of smart packaging, digital printing, and automation is enhancing efficiency and reducing costs.
TCPL Packaging is strategically positioned to capitalize on these trends through investments in technology, sustainability initiatives, and capacity expansion, reinforcing its leadership in the sector.
Recognizing the importance of environmental stewardship, TCPL has implemented several sustainability measures:
Material Usage: Prioritizing recycled and biodegradable materials in production.
Resource Conservation: Implementing water and energy-saving practices within manufacturing processes.
Eco-Friendly Components: Utilizing environmentally friendly inks and coatings.
Waste Management: Emphasizing waste reduction and minimizing plastic usage.
TCPL Packaging distinguishes itself through:
Technological Proficiency: Employing advanced printing and finishing techniques to deliver superior packaging solutions.
Client-Centric Approach: Collaborating closely with clients to develop customized packaging that aligns with brand objectives.
Robust Manufacturing Capabilities: Multiple facilities ensure scalability and prompt delivery.
Sustainability Commitment: Leading in eco-friendly packaging, adhering to global environmental standards.
| Summary | Dec 2024 | Sep 2024 | Jun 2024 | Mar 2024 | Dec 2023 | Sep 2023 | Jun 2023 | Mar 2023 |
| Promoter | 55.7% | 55.7% | 55.7% | 55.7% | 55.7% | 55.7% | 55.7% | 55.7% |
| FII | 0.9% | 0.9% | 0.8% | 0.8% | 0.7% | 0.7% | 0.6% | 0.7% |
| DII | 11.7% | 11.4% | 9.2% | 8.0% | 6.5% | 5.9% | 4.0% | 4.0% |
| Public | 31.5% | 31.8% | 34.1% | 35.2% | 36.8% | 37.4% | 39.4% | 39.3% |
| Others | 0.2% | 0.2% | 0.2% | 0.2% | 0.2% | 0.2% | 0.3% | 0.2% |
| Stock | Current Price | Market Capitalization | PE TTM Price to Earnings | PEG TTM PE to Growth | ROE Annual % | RoA Annual % | Piotroski Score | Revenue Growth Annual YoY % | Net Profit Annual YoY Growth % | Dividend yield 1yr % |
| TCPL Packaging Ltd. | 3484.75 | 3171.12 | 23.66 | 0.61 | 19.28% | 7.63% | 7 | 4.54% | -8.74% | 0.63% |
| Garware Hi-Tech Films | 3887.8 | 9032.29 | 29.02 | 0.45 | 9.94% | 8.74% | 8 | 15.94% | 22.36% | 0.26% |
| EPL Ltd. | 251.92 | 8042.63 | 30.12 | -10.11 | 10.19% | 5.59% | 5 | 6.40% | -5.96% | 1.91% |
| AGI Greenpac Ltd. | 690.75 | 4468.97 | 15.39 | -8.87 | 13.85% | 7.48% | 8 | 5.96% | -3.94% | 0.87% |
| Polyplex Corporation | 1130.95 | 3550.33 | 17.11 | 0.04 | 1.07% | 0.50% | 7 | -17.82% | -89.14% | 0.88% |
| Jindal Poly Films Ltd. | 779.35 | 3412.49 | 12.64 | 0.07 | 1.82% | 0.67% | 5 | -17.60% | -77.59% | 0.71% |
| Uflex Ltd. | 456.85 | 3298.98 | -11.1 | -0.38 | -9.57% | -3.98% | 4 | -8.58% | -243.75% | 0.22% |
While TCPL Packaging enjoys a strong market position, it faces challenges such as fluctuating raw material costs, shifting consumer preferences, and intense competition. Nonetheless, the company's focus on innovation, automation, and market expansion positions it well for sustained growth. As demand for premium and sustainable packaging rises, TCPL is poised to seize emerging opportunities.
TCPL Packaging has firmly established itself as a leader in India's packaging industry. Its unwavering dedication to quality, innovation, and sustainability continues to set industry benchmarks. As businesses increasingly seek advanced and eco-friendly packaging solutions, TCPL's expertise and comprehensive product range make it a preferred partner for leading brands across various sectors. Stakeholders and industry analysts should monitor TCPL Packaging's trajectory as it progresses toward new milestones.
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