“We have taken price hikes in certain categories, and expect higher volume growth in paper and boards segment in FY25 vis-a-vis FY24,” Veerappan KR, chief financial officer of JK Paper, said in a TV interview, as per reports.

Sales volumes grew 2.3% in paper and boards during the previous financial year (FY24), and the company continues to focus on operational efficiencies.

The board of directors have recommended a final dividend of Rs 5 per share for FY24. 

Overall, in the March quarter of the financial year 2024, JK Paper’s profit dipped 1.7% to Rs 275.6-crore compared to Rs 280-crore in the previous year. 

Revenue, meanwhile, remained stagnant at Rs 1,719-crore year-on-year. 

However, Ebitda fell 26% YoY to Rs 358 crore, from Rs 483-crore in the corresponding period last year.

Consequently, margin fell 730 basis points (bps) to 20.8%, as compared to 28.1% year-on-year.

On the weak performance of JK Paper, chairman and managing director Harsh Pati Singhania said, "Significant increase in raw material cost and lower realisation across all categories have impacted performance during the quarter and year as a whole. The selling prices continued to remain under pressure due to increase in imports."

The board of directors have also approved acquisition of balance 15% equity shares of its subsidiary companies Horizon Packs (HPPL) and Securipax Packaging (SPPL).