Enhanced EBITDA, together with lower finance cost and lower effective tax rate led to increase in PAT by 83%. Increase in EPS was still higher at 96% due to impact of buyback of shares in December 2020.
Specialised polyester line and new BOPP line to be commissioned in Q1FY23 and FY25 respectively, focus towards growing specialty sales, diversification into specialty chemicals and pet care would drive growth in coming years.
During the quarter, the company had announced first interim dividend of Rs 25 per share (equivalent to the full year dividend paid in the last financial year), which has been paid in October 21.
Pankaj Poddar, Group CEO, Cosmo Films, said “During the quarter, the company launched its pet care brand Zigly with the opening of its first Experience Centre in Delhi, launch of mobile van service in NCR and launch of the eCommerce platform. These omni-channel offerings will provide unique convenience and value proposition to pet parents. Initial response is propitious and the Company plans to significantly expand its foot pint both in digital and offline (experience centers, stores and vans) over the coming quarters.”
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 has ordered/ ordering 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 also working on several sustainability projects, which is bringing cost savings as well as making Cosmo a truly sustainable organisation,” Poddar added.