Greenlam Industries Limited (NSE: GREENLAM) Q3 2025 Earnings Call dated Feb. 03, 2025
Corporate Participants:
Saurabh Mittal — Managing Director & Chief Executive Officer
Ashok Sharma — Chief Financial Officer
Unidentified Speaker
Analysts:
Keshav Lahoti — Analyst
Udit Gajiwala — Analyst
Sneha Talreja — Analyst
Utkarsh Nopany — Analyst
Rishab Bothra — Analyst
Unidentified Participant
Saurabh Ginodia — Analyst
Parth Bhavsar — Analyst
Presentation:
Operator
Ladies and gentlemen, please stay connected. The conference call will begin in next few minutes. Thank you. Ladies and gentlemen, you’re connected for the Greenlam Industries call. Please stay connected. The call will begin in next few minutes. Thank you ladies and gentlemen, good day and welcome to Greenlam Industries Limited Q3 FY ’25 Earnings Conference Call.
As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchstone phone. Please note that this call is being recorded.
I now hand the conference over to Mr Mittal, Managing Director and CEO.
Saurabh Mittal — Managing Director & Chief Executive Officer
Thank you, and over to you, sir. Thank you. Thank you. Good afternoon, friends, and welcome to the Q3 FY ’25 earnings call. I’m joined by Ashoka, CFO and Samar from the finance team. So on the — I’ll speak a bit on the results and on the developments in the company. You probably are aware that we’ve completed the expansion and the announcement of the commercial production of the plant. This happened on 23rd of January and the product of the equipments, the product — the production is getting stabilized. And with this completion of this chipboard of the particle plant, by and large, all the capex we announced in FY ’22 is largely done.
So I think after this, we have no capacity creation pending as of now. So the particle board has started in Jan ’23 2025, plywood and Andhra Pradesh laminate plant started in FY ’24 in September and June respectively and the Gujarat plant expansion also got completed in FY ’24 in May. So now capacity creation across laminary division, veneer foreign doors, plywood chipboard is largely done. We’ll have some pending capex of completion of these projects, some civil work, some other capex work is still pending, which will happen over the last, let’s say, next six to nine months. So that’s on the capex side, which means that we are now largely free and just to focus on execution of these projects and winning more business across the segments we are present in across all the markets.
On Q3, the quarter was slightly subdued in terms of growth. While the flooring, door and plywood businesses did better. The export of laminates also did better comparatively with slightly over 12% of growth. Domestic laminates and domestic decorative linear is where we had sales pressure. And overall, we could just manage slightly shy of 7% growth. So while Q3 typically is slightly lower than Q2 always, if you see a past track-record. This time unfortunately, it’s been a bit lower than the usual reduction. The feedback we get from people is that demand has been slow in the last three to six months.
My sense is that despite a slower-growth, we have potentially one more market-share in both international and domestic market. That’s our sense, but we’ll wait for the numbers to come out-of-the other companies and some numbers don’t come out in our category as you’re aware, will come out maybe at the end-of-the FI only. Price realizations, value mix, gross profits, RM costs are largely, you know well-maintained and I think there’s been pricing discipline. That’s why I think on those fronts, not much challenges. Raw-material costs have by and large been stable in most of our segments.
In the plywood segment, costs continue to remain slightly higher, but we had already taken price increases for that in Q2. So from a raw-material side, by and large, we think that part will be stable. We have to focus on building more business and more volumes of freight inwards, freight outward on the import and export side also remain largely stable as of now with the truce and with the, you know, hopefully the closure of the war between Israel and Hamas we think seafets might further you know, reduce our shipping time to several markets might further reduce, helping us improve our working capital cycle, reduce some costs and have faster, you know, supply-chain into the markets in Europe and some other parts of the world. So that’s on the supply-chain side.
Product development, streamlining of manufacturing plants at plywood, Pradesh laminate, by and large is all settled. Factories are nicely settled. The challenges to build demand. Our debtor speed also by and large remain under control despite the slackness in the demand. I think we’re able to manage that well. Certain inventories are slightly higher, which also includes some inventory of raw-material, et-cetera, CFO will give a — will communicate on that. So by and large, on-ground when things are under control, our preparation, our preparedness is going well and we really hope that we bounce-back with a better growth in Q4 and obviously for next year also we expect better growth coming in. So by and large, that is from my side.
I will have Ashok take you through the financial performance and we’ll be happy to respond to your queries., over to you.
Ashok Sharma — Chief Financial Officer
Good afternoon, friends. I’ll take you through the financial performance first for the quarter. On a consol basis, net revenue for this quarter grew by 6.9% on year-on-year basis and however, de-grew by 11.6% on a sequential basis to INR602 crore as compared to INR680 crores in-quarter two in FY ’25. Gross margin grew by-20 basis-points to 55% in Q3 this year from 54.8% in Q3 last year. On a sequential basis, gross margin grew by 340 basis-points. Gross margin in absolute terms grew by 7.3% to INR331 crore in Q3 this year as compared to INR308 crore in Q3 last year.
EBITDA margin was down by 200 basis-points and stood at 10.6% in Q3 this year as compared to 12.6% in Q3 last year. EBITDA in absolute term de-grew by 10.7% to INR63.5 crores in Q3 this year as compared to INR71 crore in-quarter three last year. This is due to slower-growth into the domestic — in the domestic market. Net profit for the quarter stood at INR12.5 crores in this quarter as against INR25.3 crores in-quarter last year due to lower EBITDA, interest — higher interest and depreciation for new projects and one-time tax for earlier years.
Moving on to nine months. Consolidated net revenue for the nine months grew by 12.2% to INR1,88 crores as compared to INR1,682 crores in nine months last year. Gross margin was flat at 52.8%. Gross margin in absolute term grew by 12.3% to INR997 crores in nine months this year as compared to INR88 crores in nine months last year. EBITDA margin was down by 150 basis-points at 11.1% in nine months from 12.6% in nine months last year. EBITDA in absolute terms de-grew by 1% and stood at INR209 crores as compared to INR211 crores in nine months last year. Net profit degrew by 31% to INR67 crores in nine months this year as compared to INR97 crores last year.
Now I’ll move on to segmental performance. First, the laminate, which is the major segment for us. For the quarter, laminate revenue grew by 4% on year-on-year basis. However, de-grew by 12.9% on a sequential basis to INR520 crores from INR500 crore in-quarter three last year. EBITDA margin stood at 13.2%, a degrowth of 270 basis-points on year-on-year basis and a degrowth of 150 basis-points on quarter-on-quarter basis. Production volumes were at 4.86 million sheets with a utilization level of 79% on the enhanced capacity of 24.52 million. Sales volume for the quarter stood at 4.77 million seats and boats, a growth of 2.6% on year-on-year basis and a growth of 7.8% on a sequential basis. Our average realization for the quarter stood at INR1,050 per seat on-board, which was marginally up by 1.3% on year-on-year basis.
Moving on to nine months, laminate revenue grew by 9.9% and stood at INR1,651 crores from INR1,503 crores in nine months last year. Volume grew by 7.8% on year-on-year basis. EBITDA margin stood at 13.9%, a degrowth of 180 basis-points on year-on-year basis. Production volume were at 15.56 million sheets at utilization level of 85%. Sales volume for the nine months stood at 14.82 million sheets and boom and our average realization in this nine months was at 1,075.
Moving on to another segment, Decorative linear and Allied, this segment includes decorative engineer, engineered and engineering in the segment, overall venior segment revenue of in the Decorative segment, revenue of Decorative business de-grew by 4% on year-on-year basis and de-grew by 9% on sequential basis to INR26.3 crores in this quarter from INR27.4 crore in-quarter three last year. The revenue of recorative business de-grew by 12% on year-on-year basis to INR78.3 crores in nine months from INR88.7 crores in nine months last year. Volume degrew by 7.8% on year-on-year basis. Sales volume for quarter three stood at 0.26 million square meters and for the nine months stood at 0.82 million square meters. Capacity utilization for this quarter was 27% and for the nine months stood at 28%. Average utilization for the quarter was 988 per square meter and for nine months, it was 944 per square meter.
Moving on to another — moving on to engineered wood flooring, revenue for the engineered wood flooring business grew by 13.8% on year-on-year basis and grew by 7.2% on a sequential basis to INR15.2 crores in-quarter three this year as against INR13.3 crores in-quarter three last year. For the nine months, revenue of root chlorine business grew by 15.7% to INR42.7 crore as against INR36.9 crore in nine months last year. Capacity utilization stood at 13% in this quarter and 14% for the nine months as a whole.
Moving on to Engineered doors, revenue of Engineered doors business grew by 49.5% on year-on-year basis and de-grew by 8.6% on a sequential basis to INR10.4 crores in-quarter three this year as against INR7 crore in-quarter three last year. For the nine months, revenue of engineered door business grew by 42.8% 4.8% to 31 point from — to INR31.6 crore in as against INR22.1 crores in nine months last year. Capacity utilization for the quarter stood at 27% and for the nine months it stood at 24%.
Moving on to next business segment, plywood, revenue of plywood business stood at INR30.4 crores in-quarter three this year and INR84 crore in nine months. Sales volume for the quarter stood at 1.16 million square meters and 3.3 million square meter for the nine months. Capacity utilization for the quarter was at 24% and for the nine nine months also was at 24%. Average realization in this quarter stood at INR257 per square meter and for the nine months was INR248 per square meter with. In the current quarter, working capital cycle stood at 67 days as compared to 59 days in-quarter three — in-quarter two of this year. Net-debt stood at INR1,012 crores. Thank you. That’s all-in this.
Now I’ll open the floor for the question-and-answer.
Questions and Answers:
Operator
Thank you very much. We will now begin the question-and-answer session. Anyone who wishes to ask a question may press RN1 on the touchstone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to only use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. We’ll take our first question from the line of Keshav Lahoti from HDFC Securities. Please go-ahead.
Keshav Lahoti
Hello. Hi, thank you for the opportunity. Firstly, I know it’s early days, but now the particle Board plant is commission, how is the initial thing going up and what is sort of — what sort of ramp-up you are looking and when you feel this plant will breakeven and how is the current market scenario? Hello. Am I audible question?
Saurabh Mittal
Yes. Just sir. So I’ll take the question on the demand-side and all that. So the initial feedback from a demand-side and signing-up of dealers, wholesalers is quite encouraging. So I think that part is pretty okay. And as I said earlier, the stabilization of the commercial production because it’s a automated line, lot of you know sync needs to be done from the process control perspective from raw-material to the board production, I think that’s underway as we talk. And we should be looking at a 40% to 50% kind of utilization in FY ’26 and we should be near breakeven at I think 50% kind of utilization level?
Keshav Lahoti
Understood. Got it. And sir, what about your revenue growth guidance, which you have given 18% to 20% for this? Will you maintain that? And how you see the laminates margin going-forward? This quarter we have seen some dip. Should we expect the quarter two margin will be back-in upcoming quarters because we have also taken a price hike in Q2 and
Saurabh Mittal
So FY ’25, I think we’ll miss the 18% to 20% growth number. We are about 12% in nine months and my sense is if things go — as we see things probably will end the year somewhere in the band of 12%, 13% tax of growth in FY ’25. FY ’26, we maintain that we should be in the band of, 18% 20% type of top-line growth. So that’s on that.
On laminates, so clearly, the challenge is more on the volume side, as you probably have seen gross profit, posit relation, that’s all well. We just need to expand the volumes and then I think the profits or the EBITDA margins, etc., should get back to that 14% 15% in that band percent so let’s see how this quarter goes. But price relations and volume mix, et-cetera, is all going well as we can see things now.
Keshav Lahoti
Okay. One small last question from my side. Has the demand picked-up in January for?
Saurabh Mittal
So Jan has been okay. It’s not like any — it’s not extraordinary great or negative. I think it’s fine. Yeah.
Keshav Lahoti
Better than 3Q what we are experiencing the demand.
Saurabh Mittal
Well, I don’t know if I could say all that a lot, but yeah, it’s as of now we’re going online with what we think we should be able to deliver in this quarter. Yeah.
Keshav Lahoti
Understood. That is helpful. Thanks a lot. Thank you.
Operator
Thank you. Before we take the next question, we’d like to remind participants to press RN1 to ask a question. The next question is from the line of Udit Gajiwala from YES Securities. Please go-ahead.
Udit Gajiwala
Yeah. Thank you for taking my question, sir. Sir, firstly on the gross margins for the laminate business. So what can be the steady gross margin that we can look at? It’s moved up from 52 to 55% on sequential basis.
Ashok Sharma
Yeah, hi, Vik. So this is at the similar level what we are at — we believe that it should be in the range of around 53% to 55% kind of things. It should be within that range. Quarter-on-quarter, there might be some variation, but it should be within this band. We believe this is what it is there as of now can be maintained unless there is a significant jump-in the price of raw-material, which is not as of now is doesn’t looks like.
Udit Gajiwala
So sir, just trying to understand that what changed on sequential basis? Of course, our ASPR up, but not so much on sequential basis. Any particular RM that came down in terms of costing?
Ashok Sharma
Nothing in general in terms of that because in the December quarter what happens every time we get some year-end bonuses on some packages. So that is the reason that in the December, it is slightly go up in comparison to other quarter. Otherwise, it is normally within the same land. That is specifically for the landing.
Saurabh Mittal
So nine months for nine months, we had a similar gross profit of 53 53.5 times?
Udit Gajiwala
Understood, sir. And sir, lastly, in terms of the growth guidance that you have maintained of 18 to 20 for next year, any sense on what kind of blended margin should we look at like because particle boards will not contribute in terms of EBITDA, but overall, where do you see the margins moving? Thank you.
Ashok Sharma
So this in the next quarter — next year, we are hoping to have the breakeven in the particle board and — but obviously that may not happen in the first-quarter or quarter one. So that may take time probably in terms of that. So it’s difficult to predict as of now what the EBITDA looks like, but we believe that normal EBIT in the — other than particle board, we will have a normal EBITDA — our normal EBITDA. Particle board probably we have to wait for one or two quarters towards. But the intention is to breakeven in the next year.
Udit Gajiwala
Okay. Understood, sir. And just sir, last, if I may squeeze in for the plywood segment, how do you see the ramp-up happening in ex of the Southern region? If you can throw some light in terms of your acceptability of the product there.
Saurabh Mittal
Sure. So if you see plywood, the feedback we said last-time also on the product quality, on just the performance of the product, I think it’s been exceptionally good and the channel partners and customers who start using apply, the feedback we’ve received is that the country using our plywood. The channel expansion or the creation, I think up to 80% is largely done in South India. We also started opening markets of Maharashtra in April 2025. So that process is still going on. And we are like this year, if you see we already 84 crores of sales implied.
My sense is versus what we did last year will be nearly 2x this year. And I think the coming year we should double from FY ’25 number in FY ’26. So clearly, I think because we’re going to — we’re going to operate in this segment in the long-term. So I think the product performance, the quality, the secondary working channel partners who have been created. I think it’s going-in a good direction, maybe a bit slower than what we expected. But I think from a qualitative point, I think is going good. So — and we should keep growing this part of our business.
Udit Gajiwala
Understood, sir. And sir, specifically for Ply, what was the timber cost in Q3 versus Q2 for the development.
Saurabh Mittal
So by and large, the wood costs have been similar in our — because our plant is in South, it’s been by and large at the same average, say, maybe some local costs might have gone up a bit. We had taken certain increases in Q2, so and that’s why your gross margin biolog similar, but maybe Ashok can add something.
Ashok Sharma
So in the beginning of the quarter three, it was — it was — there was some upward movement, but later on it got stabilized in terms of that. So as of now, prices has not reversed, but it’s not increasing also either. It’s stable as of now. So and we are hoping that probably that with the supply situation increase or there may — it may have an impact on the price.
Udit Gajiwala
And the same trend has been in January as well, right? The prices have been stable is what?
Saurabh Mittal
Yes, that’s right.
Udit Gajiwala
Got it. Thank you so much for answering and all the best.
Saurabh Mittal
Thank you.
Operator
Thank you. Ladies and gentlemen, to ask a question, please press R&1 on your phone now. We’ll take our next question from the line of Nehar Talreja from Nuvama Wealth. Please go-ahead.
Sneha Talreja
Hi, good afternoon, team, and thanks a lot for the opportunity. Just two questions from my end. Firstly, on your FY ’26 guidance of 18% to 20% growth. Just wanted to drill down what will be the proportion of particle board itself because earlier we had given a guidance, it will be operating at about 40% to 50% utilization if I make a rough calculation and bring it down to even minimum of INR300 crores to INR350-odd crores at revenues that you do. Are you aiming for like a single-digit or medium single-digit terms of volumes for your existing business or am I missing something?
Saurabh Mittal
No, no. So you got the question right, we’re not aiming to do all that. But we do minus little bit figures and whatever figures we give us achieved at times. So I don’t know what to do on this front or not. So clearly, you know, that is not our plan. But yes, considering the market situation, there are unpredictable circumstances, which we can’t look at the moment. So we’ve given a broad direction on where the growth numbers should look
Sneha Talreja
Likely single-digit growth at this point of time for the business is what I understand or including your other businesses put together?
Saurabh Mittal
No, because we see fly, I think we should have decent growth in more flooring and Viney also we expect a decent growth coming in and likewise for our domestic and our international laminance business. So we’re quite positive on all our businesses and but yeah, sometimes things don’t go as of plan and then
Sneha Talreja
Would you want to quantify some numbers out there, maybe in terms of growth numbers for laminate separately, plywood separately or maybe just particle board itself so that we can derive on certain numbers?
Saurabh Mittal
I think it’s very hard-to-do all that, but because can give a broad kind of speak to Ashok offline on that very hard to develop. So from our side, I said that earlier, most of the capex are done, the capacities have been built have been built well and with the product quality, the product programs have also been nicely done. We really hope things only gets better.
Sneha Talreja
Right. In terms of particle board, given we are almost there, any sort of visibility that you have already started getting from OEMs or for your product, any visibility out there? And what is the percentage of imports at this point of time coming up would be coming in the market? Did you plan to replace some numbers there?
Saurabh Mittal
So the feedback the product is on the shapecard rain selection, the finish is quite good. Wherever it’s got it’s not as of now in the market takes months-to get there. The initial order booking by customers of inventory, et-cetera, is also quite decent. So I would say the feedback is positive. I think we can just go settle the plant and keep delivering. As we know that there are hardly few meaningful committed players in this space in terms of our capabilities, capacities, sales marketing team and we have this advantage of alignment of melamine chipboard.
As you know, particle board gets sold as pre-laminated product and plain board. So this alignment of melanine particle board, laminates compacts. So this whole alignment of the product program with the other products which are used in interiors, I think is a great strength in our company possesses and we hope that we’ll use it to the fullest. So I think the feedback as of now what we — I know is quite. Yeah.
Sneha Talreja
Understood. And lastly, if at all, I can just ask one more question. Anything on the BIX, we are closer to the date of implementation. Anything that you’re hearing on-ground, is it likely to get implemented this time seeing some delays? Anything here would be helpful.
Saurabh Mittal
So I think chip have extended, but answer your other question, imports of is not so much in our country. I don’t have the exact number. It’s very small. And sorry, maybe Ashok into that number.
Ashok Sharma
Yes, whatever last two years got the number, it was in the range of around INR300 odd crores for.
Saurabh Mittal
Yeah,
Ashok Sharma
It was 300, IN 350 in that range only not very-high.
Saurabh Mittal
On the BIS, we have hopefully gets implemented, but I’m not sure whether they will implement or there will be some extension or will there be some extension for some parts of some kind of manufacturer? I’m not so clear on this, but we’ve heard that it should get implemented people have proposed its implementation, but I’m not completely clear on the subject.
Sneha Talreja
Understood, sir. Got it. Thanks a lot team and all the best.
Operator
Thank you. Next question is from the line of Utkash Nopani from BOP Capital Markets. Please go-ahead.
Utkarsh Nopany
Yeah, hi. Good afternoon, sir. Sir, my first question is for laminate segment. So if you could specify what is the laminate volume growth for domestic and export market in December quarter? And like what is the reason for sharp contraction in laminate margin in December quarter on both Q-on-Q and Y-o-Y basis and what would be our margin guidance for the current March quarter and FY ’26 for your laminate segment?
Ashok Sharma
Yeah,, in terms of the — we don’t give the figures separately for the domestic and export. Overall total figure is we have already shared in terms of growth in this quarter, the volume growth was 2.6% on a year-on-year basis.
Utkarsh Nopany
Okay. So earlier like we have been specifying the percentage, what kind of a growth we have seen in export and domestic market. So that’s why I was asking. But that’s fine. And if you can just mention the reason for the sharp contraction in laminate margin on a Q-on-Q basis in December quarter, what is the reason for that?
Ashok Sharma
So in terms of — if you see that the revenue is — laminate has grown by 4% only in this — in this quarter on year-on-year basis. So basically the sales is lower and whereas the operating cost is at a higher-level in comparison to previous year. So that is the one of the reason in terms of that. We expect that sales to correct going-forward and which will correct the overall margin scenario.
Utkarsh Nopany
And so what would be your margin guidance for current March quarter in FY ’26 for laminate segment?
Ashok Sharma
So normal margin which we have — if you see in this quarter, we were having around 13% a margin, of course, from the previous year, it was 15.9%. Previously it was 15.9%. So we are hopeful that it will be in the range of our normal margin, which is around 14-odd percent is the margin which we — in that, that can be achievable. Otherwise that there are some additional expenses in the quarter three like the starting of our — two of our depots overseas. So due to that there were some additional expenses, which going-forward will not — these were one-time expenses. So going-forward, this will come back to normal margin.
Utkarsh Nopany
Okay. And sir, second question is on your particle boat project, like we have spent around INR735 crore on this project to complete it versus our earlier guidance of INR875 crore, which was there in last quarter. So what is the reason for sharp reduction in our project cost? And are we going to incur any additional cost on this project going-forward?
Ashok Sharma
Yeah. Yeah. So it’s not the — not the change in the spending. It was — we spent that this was the money which is spent till now. The project even though the commercial production has started, but the — but still the construction and expand is going on as of now. So this will be there till as mentioned by sir also, it will be next six to nine months, it is going to be spent and it will be in the range of that what we have earlier intimated in the range of INR875 only.
Utkarsh Nopany
Okay. And sir, what would be the budgeted capex for FY ’25 and ’26 and how much we have spent in the nine months of FY ’25?
Ashok Sharma
Okay. So nine months we have spent close to around — including the new project around INR190 crore. We expect including the project, it should be in the range of around INR250 odd crore and for the FY ’26, including some of the CapEx which we need to do for the project pending capex for the project, it should be in the range of around INR100 odd crores.
Utkarsh Nopany
Okay. And sir, lastly, like if I look at your balance sheet, your net-debt to EBITDA is has now gone up to close to 4x, which is on a vulnerable side based on December quarter number. So where do you see this ratio shaping up in FY ’26?
Ashok Sharma
I think this is at the highest-level in terms of the — what we can see as of now, debt is also at the highest-level because most of the capex has been already been done. And now from the — and since we don’t have any large capex going-forward. So whatever — whatever cash will be generated, that will be used to bring this debt down and we believe that it will be lower than this —
Utkarsh Nopany
Okay. Thanks a lot, sir.
Operator
Thank you. Before we take the next question, we’d like to remind participants to press RN1 to ask a question. Thank you. Next question is from the line of Rishabh Bothra from Anand Rathi Share and Stock Brokers, Institutional Equities. Please go-ahead.
Rishab Bothra
Yeah, good afternoon, sir. Sir, just wanted to understand what kind of exposure do we have in UP market? And is there a meaningful change with respect to Kum? And secondly, what’s our exposure to the US market? Will the tariff impact somehow our business in laminate export market?
Ashok Sharma
There is not much of exposure in terms of the — to the UP market and the is practically is not impacting us in terms of any additional demand and all these because most of these demand are at the very low-end of the segment for the construction material where our product is not in — not in use in most of the cases.
And moving on in terms of the export, the US which is North-America is not a very significant portion of our export around of our export globally — total international revenue, this will be — it will be in the range of around 5%, 6%, 5%, 6% of our overall export revenue — global revenue. So we don’t — we are not expecting much a problem in there.
Rishab Bothra
Okay. And lastly, sir, if you can tell the guidance for FY ’26 and the debt trajectory, how it will pan-out? I mean reduction in debt.
Ashok Sharma
So debt within this year, we — it will be in the range of — is similar to what we are around INR1,050 in that range only. And next year, it should — it should come down from this level at close to — it should be within INR1,000 crores.
Rishab Bothra
Okay. And the guidance, if you could spell out once again, I melt out on that.
Ashok Sharma
I already mentioned, sir, it’s around 18% to 20%.
Rishab Bothra
Okay. Thank you, sir. I’ll come back-in queue. Thanks a lot.
Operator
Thank you. Ladies and gentlemen, to ask a question, please press R&1 on your phone participants who wish to ask a question, I requested to press R and one now ladies and gentlemen, to ask a question, please press R&1 on your phone. We’ll take our next question from the line of Bhawani from JM Financial. Please go-ahead.
Unidentified Participant
Yeah, hello. I’m audible?
Ashok Sharma
Yeah. Yeah, please go-ahead.
Unidentified Participant
Yeah, sir. Thank you so much for the opportunity. I just wanted to understand on the linear side of the business and products category. So what has been changing in the door and the floor category, particularly though if you — can you just once again spell out-the-door revenue and the floor revenue, if you can?
Ashok Sharma
Yeah. So for the nine months, the door is floor is around INR43 crore and door is INR32 crore. So total foot-to-wear floors and doors are INR75 crore in these nine months, which is in the last year during the same-period, it was INR59 crores.
Unidentified Participant
Got it. Got it. So sir, just wanted to understand that this door business, no doubt has been on a lower base, but what has been changing over here and how one should look at down the line for next two to three years?
Saurabh Mittal
So on the door business, this decent traction, our order book and pending orders is quite encouraging. And so we think the business will keep improving in this three months and even in the coming one and two years. So what has changed, I would say, just continuous effort over the last couple of years where we struggled to bring in the op;rders, get the product mix right, win after the customers, maybe that’s happening as we talk right now. And the full capacity of the door of the dog plant in terms of value because either we produce door leaves or door sets is something in the band of INR80 crore to INR100 crores. So I think we should start hitting — we should keep improving our utilization input revenues in FY ’26 and FY ’27.
Unidentified Participant
Got it. So if you can also help me with the guidance on the and alloyed product, the entire category, if you can just help me also on the margin side, how one should look at on the margin side. And I think in Q3, you have done on overall basis in Vineyard and allied products 2.6% kind of EBITDA margin. So how one should look at this EBITDA margins going-forward?
Saurabh Mittal
So going ahead, our sense is this will keep improving like floor has become EBITDA-positive in Q3 and in the nine months, the losses in the vertical has reduced. So we think with — so now these three categories and you probably have noticed capital employed in this category also has gradually come down over the next two, three years. So we don’t need fresh CapEx or capital in this category and with business improving, with sales volume increasing, clearly also flow down to the profitability and cash-flow because we don’t need to add much resources in terms of people or marketing and all that. So I think it should keep improving.
Unidentified Participant
In FY ’26, can we assume 4% to 5% kind of EBITDA level in this category sure, sir, sir. Thank you so much
Operator
Thank you. We’ll take our next question from the line of Saurabh Kinodia from Smiths Limited. Please go-ahead.
Saurabh Ginodia
Good afternoon, sir. Thank you for the opportunity.
Operator
Saurabh, your voice is not very clear. Can you use your handset mode, please?
Saurabh Ginodia
Yeah. Is it clear now?
Operator
You can go-ahead with the question.
Saurabh Mittal
Still a bit muffled, but if you speak a bit louder,
Saurabh Ginodia
The — I’ll try to speak a bit louder. Sir, on an annualized basis, what kind of an increase in depreciation and interest one should estimate on the new particle book plan.
Ashok Sharma
So the depreciation will be in the range of around INR30 crore to INR35 crore and interest will be in the range of — also in the range of around INR35 crore to INR40 crore. This is depend in the — as of now interest scenario, in case the interest-rate moves, which is everybody is expecting to go down, so then this cost can come down.
Saurabh Ginodia
Understood. That was almost. Thank you.
Operator
Thank you. Next question is from the line of Parth from Investec. Please go-ahead.
Parth Bhavsar
Hi, sir. Thank you for the opportunity. Sir, my question is related to laminates exports. So over the last two quarters, Q2 and Q3 and as we enter Jan, so which are the markets where you see green shoots like is it Europe or is it US or the other way like which has declined for us year-on-year and even quarter-on-quarter.
Saurabh Mittal
Yeah. So as you know, our markets are quite disbursed because we ship too many countries because of the nature of the business and different products at different sizes are needed everywhere in different markets. So hard to give you analysis. So nine months, I think export business has grown by about 15-odd percent in nine months or nine months. So hard to give you a number, obviously some markets end-up doing slightly better than the other markets. But hard to —
Parth Bhavsar
If I had to ask you like specifically, I had to ask you about Europe and US, like how is the demand looking like over there?
Saurabh Mittal
Yeah. So generally, in the international markets, markets are the markets are growing at a very small pace or not growing. So in the international markets in Europe including UK, we are winning market-share from the local — you know local companies because they have not added capacities or they have their own challenges of winning business from somebody else. So I think in international markets, mostly the story is more about market-share gains and less about organic growth coming in. So Europe has become our largest market. So which is all Central, Eastern, Western Europe and UK combined. So we’re doing okay there. We’re really okay there US, I would say we are flattish more or less. Yeah.
Parth Bhavsar
Okay. Got it, sir. Thank you so much.
Saurabh Mittal
How are you guys? I know sometimes this conference is not so helpful.
Operator
Thank you. As there are no further questions, I would now like to hand the conference over to Mr Saurab Mittal for closing comments. Over to you, sir. Thank you.
Saurabh Mittal
Thank you for your time and patience and also for your queries and interest in the organization and we appreciate them. So we also would like to, I think you already know but inform you that our company is completing 10 years of listing in March 2025 and the Board has announced a one-to-one bonus share issue and this will be our first bonus share issue by the company. And we’d like to thank all of you for your support and contribution through the last decade and we really hope that we continue doing well. And thank you for your time.
Ashok Sharma
Thank you, everyone.
Saurabh Mittal
Good day.
Unidentified Speaker
Thank you, everyone.
Operator
Thank you. On behalf of Greenlam Industries Limited, that concludes this conference. Thank you for joining us and you may now disconnect your lines