By: ICN Bureau
Last updated : October 28, 2021 8:06 am
Specialized Polyester line and new BOPP line to be commissioned in Q1 FY23 and FY25 respectively focus towards growing specialty sales
Cosmo Films Limited, a global leader in films for packaging, labelling, lamination and synthetic paper and an emerging player in specialty chemicals and polymers has posted 83% growth in profit for Q2 FY22.
Q2 FY22 EBITDA has increased by 54% on the back of higher speciality sales (20%+ growth), better operating margins and uptick performance by subsidiaries. Enhanced EBITDA together with lower finance cost and lower effective tax rate led to an increase in PAT by 83%. Increase in EPS was still higher at 96% due to impact of buyback of shares in December 2020.
Specialized Polyester line and new BOPP line to be commissioned in Q1 FY23 and FY25 respectively focus towards growing specialty sales and diversification into specialty chemicals would drive growth in coming years.
During the quarter, the company had announced the 1st interim dividend of Rs. 25 per share (equivalent to the full year dividend paid in the last financial year), which had been paid on Oct ’21.
Commenting on the company's performance Pankaj Poddar, Group CEO, Cosmo Films Ltd. said, “The newly announced BOPP line will be the largest line and both BOPET and BOPP lines will allow the company to also expand its specialty sales. The company ordered and is in the process of ordering for several other value added assets for further growth in the specialty sales."
"Textile Chemicals production line is under commissioning, while the company continues to conduct extensive trials of its newly developed products. The company is working on several sustainability projects which are bringing cost savings as well as making Cosmo a truly sustainable organisation,” added Poddar.