Meghmani Finechem zooms up to 5 per cent on posting strong half yearly results

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Meghmani Finechem zooms up to 5 per cent on posting strong half yearly results

The company has delivered a strong operating and financial performance in line with its commitment of growth. On Tuesday, share of Meghmani Finechem has closed 5 per cent higher at Rs 868.75 per share on BSE. 

The company has delivered a strong operating and financial performance in line with its commitment of growth. On Tuesday, share of Meghmani Finechem has closed 5 per cent higher at Rs 868.75 per share on BSE. 

 

Highlights: YoY comparison

Particulars (₹ Cr)  Q2FY21  Q2FY22  Growth (%) H1FY21  H1FY22  Growth (%)
Revenue  211  340  61 349  630  81
EBITDA  71  101  41 113  193  71
PAT  26  47  83 44  84  93

OPERATIONAL HIGHLIGHTS:

  • Overall plant utilization improved 16 per cent YoY basis to 90 per cent in Q2FY22.

  • H2O2 Plant capacity ramped up and at 85 per cent utilization in Q2FY22

  • In Q2FY22, Caustic Soda ECU realisation up 28 per cent; Caustic Potash up 5 per cent on a YoY basis

  • In Q2FY22, CMS sales realisation up 53% on YoY basis

H1FY22 FINANCIAL HIGHLIGHTS:

  • Revenue up 81 per cent YoY driven by higher sales of Chlor-Alkali and its Derivatives; Chlor-Alkali grew 66 per cent and Derivatives grew 125 per cent

  • EBITDA increased by 71 per cent to Rs 193 crore ; margins maintained at 31 per cent despite surge in raw material prices

  • ROCE improved to 23 per cent in H1FY22 due to improved realization in all the products and contribution from new capacities of Hydrogen Peroxide and Caustic Soda.

Q2FY22 FINANCIAL HIGHLIGHTS:

  • Chlor-Alkali and Derivatives revenue up 50 per cent and 96 per cent respectively, it led to overall revenue growth of 61 per cent YoY.

  • EBITDA grew 41 per cent to Rs 101 crore in Q2FY21 on a YoY basis. Margin maintained at 29.6 per cent despite jump in raw material prices

  • PAT increased 83 per cent to Rs 47 Cr and PAT margin improved 169 bps

STRATEGIC UPDATE:

  • The expansion plan of Epichlorohydrin (50 KTPA), CPVC (30 KTPA), Caustic Soda (106 KTPA) and CPP (36 MW) are going as per schedule.

  • In H1FY22, the Company spent Rs 230 crore for expansion of all 3 projects

Meghmani Finechem Limited , incorporated in 2007, is a leading manufacturer of Chlor-Alkali products and value-added Derivatives. The company has state of the art manufacturing facilities in Gujarat, Dahej – a leading PCPIR region in the country. MFL’s Dahej facility is a fully integrated complex with a well-established infrastructure and Captive Power Plants. The company is India’s 4th largest manufacturer of Caustic Soda, Chlorine and Hydrogen and a leading manufacturer of Caustic Potash, Chloromethanes and Hydrogen Peroxide.