DF said they split he effects into 2 - blast and fragments - blast does lots of damage to any thing but to a relatively short range, fragments do more damage to a longer range but only to personnel.
They said they cut down hte number of fragments generated by expl packs:

I haven’t seen any datamines for how this is expressed, but it seems to work for me.
I just went to test them again, and their lethal distance difference is as much as half the length of a sandbag.Grenades are indeed better.
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Personally I use large backpacks on engis for extra medkits and a little repair tools in case their needed
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same I have large backpack for engineers, large grenade pouch for AT men and rifle men, and large ammo pouch for MG men and assaulters and if I have a random sniper in my squad I would give them a small ammo pouch with phosphorus grenades
I guess I am the only one uses backpacks 90% of the time.
But youll be very vulnerable and so that’s why many don’t do that plus frags being so trash to expect kills lol
I Mostly only do it while behind cover reloading (or over buildings. you arent vulnerable, and the guy you are dueling is waiting for you to peak…not really expecting a grenade to land on him/his squad from above