Balaji Amines reported a healthy performance in the first quarter. Volumes have risen by almost 28 percent year-on-year (YoY) and margins have also expanded significantly.
The revenue, compared year-on-year, is up 102 percent at Rs 452 crore versus Rs 224 crore and EBITDA is up 165 percent at Rs 144 crore versus Rs 54 crore. Operating profit margins are also up 32 percent versus 24.3 percent.
D Ram Reddy, MD, Balaji Amines said the revenue increase was because of the new ethylamine plant was commissioned.
"For the current year, we expect to standalone revenues to be Rs 1,500 crore and Rs 800 on a consolidated basis," he said. "Looking at a growth of 14-15 percent in revenues by FY22", he added In FY21, the company's reported revenue was at Rs 1,311 crore.
Going forward the new projects like Dimethyl Carbonate (DMC) is on track, which will be commissioned by the end of the current financial years, said Reddy, adding that they have taken a new decision of increasing capacity of Acetonitrile from 9 tonnes per day to 15 tonnes per day in couple of months.
A new plant is also being built through greenfield expansion to add new capacity of 50 tonnes per day, which will likely be commissioned by next financial year, according to the management.
Reddy said, both methylamine and ethylamine are their main products along with some derivative and specialties. "EBITDA margins were around 20-22 percent but with new capacity additions and upcoming capacities, margins of 24-25 percent should be sustainable for the full year," he said.
For full interview, watch video