Dhabriya Polywood secures Rs 17.40 crore M3M facade order as aluminium business gains traction

Dhabriya Polywood Ltd has received a work order and letter of intent from M3M Group worth Rs 17.40 crore, including GST, for aluminium doors and windows facade works.

The domestic project will be executed over 18 months in multiple tranches under the terms of the order. The company said that its promoters, promoter group and group companies have no interest in M3M Group and that the transaction does not qualify as a related-party transaction.

The contract is relevant because it adds to Dhabriya Polywood’s push into aluminium windows and facade solutions, a business that management had identified as a new growth vertical alongside its established PVC and uPVC profile, windows, doors and modular-furniture operations.

On a headline-value basis, the order is equivalent to around 6.6 per cent of the company’s consolidated FY26 revenue from operations of Rs 264.48 crore. However, the announced contract value includes GST and will not translate directly into reported revenue. Its 18-month execution period also means the financial contribution will be spread across multiple quarters.

Dhabriya Polywood had earlier said that the aluminium windows and facade division had begun generating revenue towards the end of the fourth quarter of FY26. Management had indicated that the aluminium and facade Order Book stood at around Rs 56 crore and had projected revenue contribution of Rs 40 crore to Rs 50 crore from the division in FY27.

The company is setting up aluminium-related infrastructure in Jaipur, while operations in Bengaluru have already been implemented, according to management commentary. The expansion forms part of a broader capital expenditure programme that also covers PVC profile capacity, WPC doors, wall and ceiling products, and automation.

The latest order provides further evidence of commercial activity in the aluminium vertical, which differs from the company’s core extrusion business because it is more project-led and requires fabrication, installation and execution at customer sites. Management has said that aluminium contracts generally carry price-adjustment clauses linked to aluminium rates, intended to limit exposure to commodity-price fluctuations.

Execution remains an important factor. Dhabriya Polywood had earlier acknowledged that supplies for certain large projects in Maharashtra and Delhi NCR were deferred by customers during FY26, affecting the pace of revenue recognition despite a higher order book. The M3M order’s tranche-based structure similarly makes project schedules and site readiness relevant to conversion into revenue.

The company reported improving profitability in the June 2026 quarter. Net sales rose 10.02 per cent year-on-year to Rs 68.31 crore, while profit after Tax increased 35.46 per cent to Rs 8.86 crore. Its PBIDT margin, excluding other income, improved to 23.07 per cent from 19.90 per cent a year earlier, aided by product mix, operating efficiencies and cost control, according to management.

As of 10:21 AM on September 30, 2026, Dhabriya Polywood shares were trading at Rs 474.00, down 1.09 per cent from the previous close of Rs 479.20. The stock has gained 13.03 per cent over the past year, compared with a 3.07 per cent decline in the BSE 500, an outperformance of about 16.10 percentage points. It was trading around 19.3 per cent below its 52-week high of Rs 587.10.

Disclaimer: The article is for informational purposes only and not investment advice.