Q2FY22 Quarterly Result Announced for Bodal Chemicals Ltd.
Highlights Consolidated Total Revenue for the H1FY22 stood at Rs 8,996 mn, which is highest ever half year performance for the company. This growth was primarily driven by rising demand from the end-user industry and structural demand shift due to global supply-side tightness. Various events in China and mounting freight cost has disrupted the regular trade and vented into steep inflationary pressure on key raw materials. Being one of the renowned market leaders in Dyestuff and Dye-Intermediate products with a global market share of around 3% and 6%, the company leveraged its leadership position in an environment that favors Indian manufacturers. Dyestuff business growth has amplified and registered revenue of Rs 3,171 mn in H1FY22 against Rs 1,425 mn in H1FY21. In Dyestuff, all major products like Reactive Dyes, Acid Dyes, Liquid Dyes have performed well. Foresee this momentum to continue as the textile industry is showing a healthy momentum. Witnessed a similar trend in the Dye Intermediates segment as well. Prices of key products like H Acid, Vinyl Sulphone have moved northwards especially during the month of September 21, which will be reflect in Q3FY22 All Chlor Alkali products are flourishing well from Rajpura, Punjab unit and primarily serving the northern belt of India where most of the renowned FMCG, Textile & Paper manufacturers are located. Presence in North India has been growing since the acquisition of the Rajpura unit. The spot price of key products like Caustic Soda has risen unusually and should have a positive impact on profitability in coming quarters Profitability has been marginally impacted in H1FY22 due to increases in input, transit, and finance costs. Expenses have increased not only in India but also in export markets which accounts for more than 34% of overall business. All key subsidiaries have reported meaningful business. However, foreign exchange and above expenses has squeezed the earnings of few subsidiaries. Expect market penetration to continue from these subsidiaries Result PDF29-10-2021