• BCTMP plant ramp-up: The newly commissioned hardwood BCTMP pulp mill is currently operating at around 80% capacity and is expected to reach 100% capacity within a few months.
• Import substitution savings: The facility reduces imported mechanical pulp dependence by 60%, saving at least $50 to $100 per tonne in drying and shipping costs while keeping production costs at $425 to $430 per tonne.
• Return on investment: The company expects a minimum long-term return on capital employed of around 15% on the roughly 600 crore investment, assuming normalized pulp prices of $575 to $600 per tonne.
• Margin profile shift: Historic EBITDA margins of 25% to 26% are no longer feasible due to a business mix shift toward packaging board and corrugation, but management considers a 20% to 22% margin sustainable.
• Long-term growth target: Driven by packaging board and corrugated box segments growing at 8% to 10%, the company targets overall growth of at least 10% over the next five years.