Garware Hi-Tech Films stock hits 20% cap and hits all-time high after strong first-quarter earnings

Shares of Garware Hi-Tech Films, a global manufacturer of solar control films, paint protection films and other specialty polyester films, soared 20% above the circuit limit today to a new all-time high. INR2,895 per share after the company announced its June quarter results.

The company reported its financial results for the first quarter of 2025 during today’s market hours, with consolidated net income increasing by 102.2% year-on-year. INR88.4 billion. Operating revenue also increased 25.0% year over year due to continued growth momentum in our Sun Control Film (SCF) and Paint Protection Film (PPF) businesses.

EBITDA achieved significant growth, increasing by 78.7% year-on-year and 44.9% quarter-on-quarter. EBITDA margin improved to 27.4%, up from 19.2% in the first quarter of 2023 and 20.1% in the fourth quarter of 2023.

Strong sales and marketing efforts resulted in significant growth in high-end SCF and PPF business. SCF’s Architecture division has experienced significant growth with the introduction of new products.

Garware Hi-Tech Films is a leading manufacturer and supplier of high-quality, durable, high-strength polyester films, solar control films, and paint protection films worldwide. The company is India’s only manufacturer of professional premium paint protection (PPF) films and currently sells its products in around 90 countries, with exports accounting for 77% of its sales.

In 2018, Garware Hi-Tech Films made a major shift in its business strategy, resulting in strong performance in the specialty film industry. This strategic shift has resulted in improved margins and a highly differentiated product portfolio, strengthening the company’s market position and growth prospects.

The company has a production capacity of 42,000 MT/year in the Industrial Products Division (IPD) and 4,500 LSF/year in the Consumer Products Division (CPD).

amazing performance

The company’s stock has been on a consistent winning streak, ending the past 13 out of 17 months with impressive gains. From transaction price in March 2023 INR491 of each, which rose an incredible 500% to trade at its current price. INR2,895 pieces per piece.

The stock is up 214% in the past year and 1260% in the past four years. In CY23, the stock returned an impressive 114%, and it continues to soar this year, having already gained 106%.

Architectural films: SCF’s next growth engine

Architectural films are special films that are applied to the glass surfaces of buildings for various purposes. They are used to enhance aesthetics, improve energy efficiency, ensure privacy, and protect interiors from harmful UV rays and heat.

The company said its architectural films segment witnessed significant growth in the June quarter due to new product introductions. The company expects this growth to continue over the next few years.

The company launched Spectra Pro Architectural Films, which are designed to provide high thermal rejection and high visible light transmission (VLT). These films are particularly appealing to high-end homeowners, commercial hotels, and corporate properties. It is less reflective than glass, allowing most light to pass through while still providing excellent heat rejection.

Additionally, the company announced the DecoVista series, a stylish decorative film that replaces designer glass. The global SCF market is projected to grow at a CAGR of 5.8% from 2022 to 2032.

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