The company posted highest EBITDA of Rs 112-crore during Q3 FY21 (despite 7% lower volumes) on the back of higher speciality sales (13% YOY), better operating margins from last year and inventory gain of Rs 7-crore due to raw material price increase.
During the nine months ended 31 December 2020, the company had surpassed the profitability numbers for the previous full year.
During the quarter, the company bought back 12.67 lakh shares at a price of Rs 576 per share. The buyback reflects management’s confidence in the company business strategy and growth prospects. Improvement in EPS, RoE, and RoCE will start coming from next quarter.
The board of directors have declared interim dividend of Rs 25 per share for FY 20-21 and fixed 8 February 2021 as the record date.
Pankaj Poddar, CEO, Cosmo Films, said, “The company has posted highest ever EBITDA during Q3, FY21 despite 7% lower volume (partly due to de-bottlenecking one large production line to enable specialty films production). The company is set to further grow the specialty films production with the same. The company’s subsidiary will soon start commercialisation of textile chemicals developed through in-house R&D. The company’s sustainability drive is helping in reducing various wastages and carbon footprint and also contributing towards cost reduction. Specialised BOPET, specialised Chemicals and Pet Care projects are progressing as per plan.”