My notes from confcall:
703cr revenue up 32%.
export 40% growth to 540cr.
ebidta 140cr …21% ebidta margin
pat 107cr - 33% growth.
revenues are not comparable due to indas accounting standards
21% ebdita margin guidance in fy19.
386 to 540cr this qtr
rising momentum and long term demand in the CSM business.
Building capcity - one MPP commisioned in dec for CSM - 155cr capex, one will be commisioned next qtr (new technology + partial backward integration) , two more MPP construction started will be ready by Jan 2020.
around 20%+ growth for next several years in CSM business.
60cr additional revenue in this qtr - due to indas (I could not catch this part).
organic effort in several products in pharma continues and keep evaluating on in-organic side.
300-350cr capex every year next two years - company has already purchased additional land in Jambusar
close to 10-12% from new product commissioned in last 2-3 qtrs - rest from scale up of existing products
asset turns of 1.5-1.6 in this business.
order book of 1.3b USD which is up from previous qtr.
overall agrochem scenario is improving - for products we are doing (early stage products). global inventory reduced.
confident of sustaining 20%+ growth in this business.
this year 20% growth in csm.
next 1-2 years clear visibility - more than 80% of the growth is the from existing products
continuously invest in r&d - staff costs, exploring other verticals in chemistry to keep sustaining growth - development expenses.
167cr growth 10%.
inconsistency in rainfall. low price realisation for agri produce to farmers
launching value added crops.
paddy has been this bad this season - and paddy is the key crop for PI products.
china is stabilising compared back to two qtrs.
china may go easy on pollution, though its not yet normalised.
company is putting focussed effort for finding alternative suppliers in india for Chinese products. reduced dependency on china. from 35-40% from last two years. to less than 20%
dependency on china will reduce further in another 6 months.
some takeways for me:
earlier confcalls company used to maintain around 200-250cr capex for next two years, now they are saying 300-350cr for next two years.
Company is investing a lot in terms of capability of R&D, development of new chemistry platforms to build up for sustained growth from fy20 onwards.
company has been continuously reducing its dependency on china.