Borosil shares slide 7% as LPG crunch hits Jaipur plant production

Shares of glassware manufacturer Borosil Ltd fell 7 per cent in Thursday's trade after the company informed stock exchanges NSE and BSE that production at the Jaipur borosilicate glass furnace has been temporarily suspended, while the opal glass furnaces have been operating at lower capacities.

This is after the company received a communication from oil marketing companies (OMCs) regarding the restriction of supply of LPG due to a force majeure situation arising from the ongoing conflict in the West Asia and its consequent impact on global fuel supply. The stock fell 6.67 per cent to hit a low of Rs 242.90 on BSE. It was later trading at Rs 246.50, down 5.25 per cent. 

Borosil said it is actively coordinating with OMCs and the relevant government authorities to secure the supply of LPG, essential for production, in a bid to continuity of production activities to the extent feasible. 

"We are evaluating the impact arising from the ongoing disruption in the supply of LPG. The Company is actively monitoring the situation and will continue to update the stock exchanges with any material developments in this regard. The details, as required under Regulation 30 of the Listing Regulations," it said.

Borosil had on March 10 suggested that its board has approved expansion of the production capacity of Borosilicate Glass Furnace for Pressware Products from 25 TPD to 32 TPD at the company’s Jaipur plant. Besides, it okayed a proposal to set up a new manufacturing facility at Bharuch, Gujarat.  

During the first nine months of FY26, Borosil recorded an operating Ebitda before investment income and one-time items of Rs 145 crore compared with Rs 140 crore in the same period last year, up 3.4 per cent YoY. The operating Ebitda margin for the period was lower at 16.2 per cent compared with 17 per cent in comparable period of last year. 

Borosil strengthened its focus on cost discipline to improve operating efficiency. Expenditure on advertising and sales promotion remained well controlled, declining to Rs 60 crore in the first nine months from Rs 62 crore. Power and fuel costs fell to Rs 56 crore from Rs 64 crore in comparable period.