By: ICN Bureau
Last updated : August 13, 2021 9:35 am
Profit was down 7% to Rs 11.6 crore as compared to Rs. 12.5 crore in Q1 FY21 due to tax expense of Rs. 4.8 crore in Q1 FY22 compared to Rs. -5.4 crore in Q1 FY21
Vishnu Chemicals Limited, a pure play manufacturer of niche specialty chemicals, has reported Q1 FY22 revenue up 31% to Rs. 197 crore as compared to Rs. 150.9 crore in Q1 FY21.
EBITDA was up 51% to Rs. 26.8 crore as compared to Rs. 17.7 crore in Q1 FY21. Profit was down 7% to Rs 11.6 crore as compared to Rs. 12.5 crore in Q1 FY21 due to tax expense of Rs. 4.8 crore in Q1 FY22 compared to Rs. -5.4 crore in Q1 FY21.
The major capital expenditure towards the Sodium Carbonate plant in Visakhapatnam is completed and the trial runs are scheduled to begin in Q3 FY22. Post stabilisation, the facility is expected to operate from Q4 FY22. As a backward integration measure, this plant will help meet upto 60% of company’s current requirement of a vital raw material i.e. Sodium Carbonate, resulting in significant cost savings and reduced dependency.
The company's Barium chemicals business is also witnessing robust growth over the years. The company is on track to complete its capacity expansion by Q3 FY22 and expected to run at full impact from Q4 FY22. This will enhance the production of Barium chemicals by 50 percent.
“Our operational performance during Q1FY2021-22 is a reflection of the demand across sectors, most of which are showing positive trends. We are pleased to register margin expansion, improved efficiency and optimisation of fixed costs in this quarter and working diligently to continue this positive trend in the quarters to follow assuming that the pandemic stays under control globally,” said Ch. Krishna Murthy, CMD, Vishnu Chemicals Limited.
“Despite the headwinds from higher raw material costs and supply chain disruptions, we are optimistic about delivering a stronger H1 compared to last year. We are focused on servicing our customers, meeting their needs and successfully continuing with our integration execution,” said Siddartha, JMD, Vishnu Chemicals Limited.