Lohia Corp Limited

1. Overview

Lohia Corp Limited (formerly Kanpur Packaging Machines Limited) is among the leading global manufacturers of machinery and equipment for technical textiles, with a specific focus on solutions for producing polypropylene (PP) and high-density polyethylene (HDPE) woven fabric and sacks, referred to in the industry as "Raffia" machinery. The Company was incorporated on June 5, 2023, and its current corporate form traces to a Scheme of Arrangement effective May 1, 2024, through which the technical textile machinery business (the "Demerged Business") of the erstwhile Lohia Corp Limited (now LTS Holdings Private Limited, the "Demerged Company") was vested into it. Because of this restructuring, Fiscal 2024 standalone financials of the Company are negligible.

The Company holds a 15.4% share of the global woven Raffia machinery market by value (2024) and is the market leader in India's domestic woven Raffia machines market, with a 40.7% domestic market share by value in Fiscal 2025 (Source: F&S Report). It manufactures a diversified portfolio spanning tape extrusion lines, tape winders, circular looms, coating and lamination lines, printing machines, conversion machines, multifilament spin-draw-wind lines, monofilament extrusion lines, and recycling machines.

Geographically, the Company operates 6 manufacturing facilities — four in India (Chaubepur and Panki Industrial Estate in Kanpur, Uttar Pradesh; and two facilities in Bengaluru, Karnataka), one in Burlington, USA, and one in Como, Italy — supplemented by a live experience centre, an in-house R&D centre (Hargovind Bajaj R&D Centre), and a Technical Training and Research Centre (TTRC), all located in Kanpur. As of March 31, 2026, the Company had supplied products to around 100 countries, supported by four domestic sales offices, one corporate office, five international offices (Brazil, Russia, Thailand, UAE, USA), and 17 exclusive sales agents across Latin America, Africa, and East Asia.

2. Business Model and Revenue Streams

Revenue by Product Category

The table below sets out revenue contribution by key product category:

Circular looms are the single largest revenue contributor (~33% of revenue in FY26), followed by tape extrusion lines (~20%) — together these two categories account for over half of total revenue.

Geographic Revenue Mix

Domestic sales contributed 57.82% of revenue from operations in FY26 (up from 41.82% in FY25), with overseas revenue at 42.18% in FY26 versus 58.18% in FY25 — reflecting a swing toward domestic demand in the most recent year. On a regional basis (FY26), Asia Pacific (ex-India) contributed 10.37% of revenue, Africa 7.93%, and the Commonwealth of Independent States 2.42%, with the remainder split across other international markets including the USA, Europe, and Latin America.

Order Book and Cash Generation

The Company's order book stood at ₹1,358.52 Cr (FY26), up from ₹828.46 Cr (FY25) and ₹769.24 Cr (FY24, Carve-Out) — indicating strong revenue visibility. Net cash flow from operating activities was ₹325.16 Cr in FY26, ₹141.28 Cr in FY25.

Customer and Vendor Dependency

The Company sources raw materials — metals, standard bought-outs, electricals, and packing material — largely on a purchase-order basis without long-term supply agreements, exposing it to price volatility and supply disruption risk. On the customer side, the business benefits from cross-selling to existing global customers' additional facilities and business divisions, supported by dedicated service engineers stationed in 12 Indian cities and 13 countries overseas.

3. Products and Service Portfolio

Core Product Lines

• Tape Extrusion Lines ("LOREX," "duotec," "CoEx" series): Used for producing PP/HDPE tapes; melt capacity of 150–850 kg/hour.
• Tape Winders ("CM/FM," "CE/FE," "autoroto" series, plus the newly launched "Twister LT 300"): Precision winding machines for flat/fibrillated tapes.
• Circular Looms ("nova," "LSL," "LENO," "venti" series): Four-, six-, eight- to twelve-shuttle models for applications ranging from cement/fertilizer packaging to FIBCs and geo-textiles; weaving width of 15–295 cm.
• Extrusion Coating and Lamination Machines ("Lamicoat," "Lamicoat Prime"): PP and LDPE polymer coating, working widths of 1,600–4,000 mm.
• Printing Machines ("soloprint," "Prismaflex"): Flexographic printing presses, four to twelve colour options, speeds up to 200 metres per minute.
• Conversion Machines: Bag conversion lines (seven machine types including "bcs," "valvomatic," "blokomatic") and FIBC conversion machines.
• Multifilament Spin-Draw-Wind Lines ("LOFIL" range): Melt capacity of 160–200 kg/hour for sewing threads, webbings, and technical textiles.
• Recycling Machines ("RECLAMAX"): Single-step recycling technology for post-industrial waste.
• High-Performance Fibre and Monofilament Machinery (via subsidiaries Leesona Corp, USA and OMGM, Italy): High-speed take-up machines and monofilament extrusion lines for technical/industrial applications.

Installed Capacity and Utilization

Overall installed capacity (as of March 31, 2026) comprises 240 tape extrusion lines, 13,800 circular looms, and 108,000 tape winders annually in India, supplemented by 700 winders and 12 extrusion lines outside India (Leesona Corp and OMGM facilities, as of December 31, 2025). Bag conversion machines run at the highest utilization (90.63% in FY26), while core tape extrusion and circular loom lines have meaningfully lower utilization (~40–50%), signaling headroom for volume growth without near-term capex.

4. Key Business Strengths

• Global and domestic market leadership: The Company holds a 15.4% share of the global woven Raffia machinery market (2024) and a dominant 40.7% share of the Indian market (FY25), positioning it among top-tier global players by revenue.
• Diverse, end-to-end product portfolio: Coverage across the entire woven fabric ecosystem — from raw tape extrusion through weaving, coating, printing, conversion, and recycling — reduces dependence on any single machine category.
• Extensive global sales and distribution network: Four Indian sales offices, five international offices, 17 exclusive overseas sales agents, and service engineers in 12 Indian cities plus 13 countries support supply to ~100 countries.
• Backward-integrated, technology-driven manufacturing: In-house sheet metal, fabrication, machining, and surface-treatment shops, plus in-house electrical panel and PCB assembly, reduce dependence on external vendors and support cost control.
• Strong R&D and training infrastructure: A DSIR-accredited R&D centre, an ISO/NABL-accredited Technical Training and Research Centre, and a Modern Technical Training Centre (MTTC) support both product innovation and internal skilled-manpower development.
• Strategic inorganic growth track record: Acquisitions of Leesona Corp (USA, 2019) and the J.J. Jenkins Inc. business (2024), plus the OMGM (Italy) joint venture, have expanded the Company's reach in high-performance fibre and monofilament machinery.
• Sustainability-linked capacity investments: Roof-mounted solar power plants (2,000 KWP at Chaubepur; 775 KWP at Panki) support energy-cost management alongside a growing recycling-machinery product line.

5. Future Growth Strategy

• International market expansion: Deepen penetration in existing overseas markets and pursue new geographies, particularly through exports of Block Bottom Conversion machines, lamination, printing, and new conversion products, leveraging the Company's established global sales infrastructure.
• Cross-selling to existing global customers: Expand share of wallet by servicing additional business divisions and manufacturing plants of existing multinational customers across geographies.
• Growth in high-performance fibres and monofilament segment: Scale the "Monotec" and "LOFIL" product lines and continue leveraging the Leesona Corp and OMGM platforms to serve technical textile, industrial filtration, and specialty-yarn end markets.
• Sustainability-led recycling machinery focus: Extend beyond in-house pelletising/recycling capability toward addressing post-consumer plastic waste processing as a distinct growth vertical.
• Digital and automation-led operational efficiency: Continue investment in warehouse automation, robotics process automation, HR systems, and business intelligence software to improve productivity across manufacturing and back-office functions.
• Selective inorganic expansion: Pursue targeted mergers, acquisitions, joint ventures, and technical alliances to broaden the product platform and customer portfolio, building on the precedent set by the Sundarlam Industries, Leesona Corp, and OMGM transactions.