Century Enka Limited — Q3 FY26
Century Enka's Q2 FY26 revenue declined 24% YoY to ₹409 crore, impacted by subdued demand and cheap Chinese imports in both tire cord fabric and nylon filament yarn segments.
neutral
medium
✓ Verified against BSE filing
Claim Ledger
Did management answer the analysts?
Every material analyst question, graded on whether management actually answered it — with the verbatim exchange and quantitative claims checked against filed numbers.
67%Questions answered2Evaded / deflected12Questions auditedContradictedNumbers vs filing
Partial answer
High priority
Volume expectations, caprolactam price, inventory gain/loss in Q2.
Asked by Vipul Kumar, Sumangal Investments
Gave directional volume view but no numbers; caprolactam price given but no outlook.
no forward-looking volume guidanceno specific caprolactam price outlook
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Question
So what type of volume we can expect in this quarter and uh what was the capital price in last quarter and what is the price uh this means this quarter and what is the outlook and uh had we any inventory gain or loss during the uh second quarter.
Management (unidentified)
We do expect better volumes compared to quarter 2 mainly from the reinforcement market... caprolactam was in the range of about $1,200 for the quarter... we did not have any significant inventory losses for the quarter.
Evasive
High priority
Status of anti-dumping duty plea and level of protection sought.
Asked by Vipul Kumar, Sumangal Investments
Avoided stating the protection level requested; gave only a hopeful timeline.
did not specify level of protection soughtvague timeline
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Question
So what is the status of uh the anti-dubbling duty plea by the industry and the company? So and what uh what is the level of protection the company has asked for?
Management (unidentified)
The level of protection is always determined by the ministry by the DGTR. We only give the base data... we expect some positive developments in quarter three hopefully before December.
Answered
High priority
Clarification on dumping in yarn vs reinforcement and PTCF approval status.
Asked by Vipul Kumar, Sumangal Investments
Confirmed dumping in both, more in yarn; gave clear timeline for PTCF commercial supplies.
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Question
So just uh for clarification, are we seeing dumping by Chinese player in both yan and reinforcement market? ... And uh what is the status of this PTCF approval sir?
Management (unidentified)
Yes, but more in the yan side... PTCF is going on... we expect some commercial supplies to start in quarter 4.
Partial answer
Medium priority
Capacity of PTCF plant at full capacity.
Asked by Vipul Kumar, Sumangal Investments
Declined absolute capacity number but provided relative share of industry demand.
refused product-wise breakupgave relative percentage instead of absolute number
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Question
So what is the capacity of PTC of plant at full capacity?
Management (unidentified)
We do not give product wise breakups because of competitive reasons. So uh but it would be about 10% of the industry demand current demand.
Answered
High priority
Demand trend in H2 after GST cut and festive season.
Asked by Moit, Individual Investor
Provided clear qualitative view on demand improvement post-GST cut.
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Question
Uh so just one uh I had a question on the demand shaping up in H2. So like how do we see the demand trend shaping? I mean H2O especially after the GST cut and on tire in the festive season impact.
Management (unidentified)
We did see some positive uptake both at the retail sales as well as inventory liquidation at the tire companies... initial signs are good even for October and we are hopeful that the trends should continue.
Evasive
Medium priority
Expectation for NTCF demand recovery after inventory adjustment.
Asked by Moit, Individual Investor
Did not give a clear expectation; said they need to wait for more data.
deferred to future monthsno specific expectation given
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Question
And uh what are your expectation for NTFC demand? So recovery now for that uh inventory adjustment tire manufacturer is largely complete. So uh what are your expectation on that?
Management (unidentified)
The tire companies are also waiting for clear signals that the demand is sustainable... we'll know more from in this month as well as in December.
Answered
High priority
Driver of EBITDA margin improvement to 7.7% and sustainability.
Asked by Moit, Individual Investor
Explained margin improvement due to lower raw material costs; addressed sustainability implicitly.
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Question
And uh lastly what was your like uh your IDA margin improved as sub sequentially to 7.7% MQ2. So just a a general ling question that what what drove this improvement in H2 mainly is this sustainable in H2?
Management (unidentified)
The improvement is mainly because the raw material prices have fallen but the margins kind of remain at a similar level... the main driver for certain significant increase in margin has been the low-priced raw materials.
Answered
High priority
Pricing strategy to counter cheap Chinese imports in yarn and tire cord.
Asked by Anish, Individual Investor
Clearly outlined strategy for both segments: value-added products for yarn, service/quality for tire cord.
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Question
My question was so what is the company's strategy pricing strategy to counter cheap imports from China in both yan and tire cord segments?
Management (unidentified)
In the yarn we want to move up to value chain in terms of more specialized products... as far as reinforcement, we continue to work to provide superior service and better quality compared to imports.
Partial answer
Medium priority
Capex for PTCF project and expected IRR.
Asked by Vipul Kumar, Sumangal Investments
Provided capex figure but IRR only as a threshold, not a specific number.
gave capex but not exact IRR numberonly said 'in excess of 12%'
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Question
So what is the capex we have incurred for PTCF project sir and what should be the approximately 100 crores. Okay. And what is the expected IRRa on that?
Management (unidentified)
We have an internal target of IRS of more than 12%. I will not be able to give any specific number but it was in in excess of that.
Partial answer
Medium priority
Percentage of value-added products in NFY volume and realization premium.
Asked by Vipul Kumar, Sumangal Investments
Provided share of value-added products but avoided quantifying the premium.
gave percentage but not specific realization premiumvague on margin magnitude
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Question
So out of the total volume of NF what percentage of volume is uh value added products and uh what type of uh realization higher realization you get in percented terms as compared to commodity?
Management (unidentified)
It's over 35% of our portfolio is in value added products and we get good margins which justify additional investments... these are much higher than these values.
Answered
Medium priority
Plan to deploy surplus cash: capacity, buybacks, or dividends.
Asked by Kupa, Individual Investor
Clearly stated priority is growth projects, with dividends continuing.
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Question
So how do you plan to deploy uh the surplus cash will it be towards capacity buybacks or any dividends?
Management (unidentified)
We have followed a consistent dividend policy that would continue but mostly this would get deployed in new projects because we see a lot of opportunities in growing this company.
Answered
High priority
Total domestic nylon filament yarn demand and annual imports.
Asked by Faluni Data, Mansur Financials
Provided specific demand and import share figures.
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Question
Is it possible to get the total domestic nylon filament yarn demand and the annual imports?
Management (unidentified)
The demand is around just under two lakh tons per annum and the imports have been close to between 30 to 35% of the demand.
Quantitative claims vs filed numbers
| Claim | Management said | Filing | Verdict |
|---|---|---|---|
| EBITDA margin improved to 7.7% in Q2. | 7.7% | 10% | Understated vs filing |
Filed figures sourced from Screener.in. Claims within a small tolerance of the filing are marked “matches filing”.