Vinati Organics

Stock Opportunities Not-so-Hidden Gems
#485

Latest CNBC interview (link)

  • EBITDA/kg has remained the same, margins have come down due to increase in topline (due to input price increase)
  • IBB has seen a 30% YOY growth in this quarter, ATBS has grown by 25-30%, butyl phenol and isobutylene have also gained market share
  • Expect volume growth of 25% in FY23 (due to increased offtake of IBB and butyl phenol)
  • Veeral Organics plant commissioning will take 12-15 months (capex of 250 cr.), so revenues will be only seen in FY24
  • Expansion of butyl phenols and a couple of smaller niche products will require capex of 120-150 cr.
  • Total capex of around 400 cr. in the next 2-years

Disclosure: Not invested

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#486

From this interview it is not clear when Veeral additive plant will be commissioned, in last qtr result it was said on March 2022. Same as well for Solar power plant, no question asked, no answers.

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#487

Have they done Q4FY22 con call.
I am unable to find it.

#488
  1. Company will be expanding ATBS capacity from 40000 MT to 60000 MT given the high demand.
  2. For this 300 crs capex which will be funded by internal accruals and is expected to get commissioned by December 2023.
    3.The capital expenditure in Veeral Organics Private Limited is under progress. (280cr Capex)
    4.Products include 2000 MT of MEHQ & Guaiacol and 30000 MT of Iso Amylene.
    Two of the above mentioned products i.e. MEHQ & Guaiacol also manufactured by Clean Science
    Screen Shot 2022-06-23 at 22.33.54
    Screen Shot 2022-06-23 at 22.33.541212×632 57.4 KB
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#489

Volatile Chemical Prices & Its Impact On Vinati Organics: Talking Point - YouTube

#490
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