Operational Disruption

Andhra Paper Revises Production Loss to 220 MT/Day Due to Lockout at Kadiam Unit

NSE

andhrapap

BSE

502330

Andhra Paper Limited has revised its estimated production loss to 220 MT per day due to a lockout at its Kadiam unit in Andhra Pradesh, following an earlier incorrect disclosure of 70 MT per day.

PRICE-SENSITIVE TRIGGER

Event: Lockout Impact Clarification

Type: Operational Disruption

Impact: Negative

Immediate Effect: Higher-than-expected production loss impacts operational output and near-term revenue

Key Metrics:

Revised Production Loss: 220 MT per day
Earlier Estimate: 70 MT per day

Highlight:

Production impact significantly higher than previously disclosed

What Happened ?

Andhra Paper Limited issued a clarification revising its estimated production loss due to a lockout at its Kadiam manufacturing unit. The revised loss is 220 MT per day, reflecting a full disruption of operations.

key highlights

Operational Impact:

Location: Kadiam Unit, East Godavari, Andhra Pradesh
Lockout effective from May 1, 2026 (10:00 PM)
Entire production capacity impacted
Earlier estimate (70 MT/day) represented partial disruption
Revised estimate reflects full operational shutdown
No physical damage to assets reported
Lockout initiated to safeguard employees, plant, and machinery

Note:

The revision corrects earlier underestimation and reflects full operational impact

Risk Analysis

Key Risks

Loss of production impacting revenue
Extended lockout duration uncertainty
Potential customer supply disruptions
Fixed cost burden despite halted operations

Worst Case Scenario

Prolonged lockout could materially impact quarterly earnings and margins

Risk Level: High

Company Commentary

Revised production loss disclosed
No damage to physical assets
Lockout implemented for safety reasons
Disclosure updated under SEBI Regulation 30

Official Exchange Filing: Andhra Paper Limited