| Metric | Value (₹ Cr) | vs Q3 FY25 |
|---|---|---|
| Revenue | 1.2K | 8.8% |
| Total Income | 1.2K | 9.0% |
| Expenditure | 1.2K | 9.4% |
| PBT | -72.89 | 15.8% |
| Net Profit | -54.17 | 11.0% |
| OPM | 3.19% | 20.17pp |
| NPM | -4.65% | 0.08pp |
| EPS | 3.39 | 210.8% |
Chemplast Sanmar Reports 10% & 11% Revenue Growth in Q4 & FY '25; Optimistic About Stronger Demand and Improved Pricing
13 May 2025 · 13 May 2025, 11:28 pm
Summary
Chemplast Sanmar Limited, a speciality chemicals company, announced its audited financial results for Q4 and FY '25. The company reported a 10% and 11% growth in revenue for Q4 and FY '25 respectively, driven by the ramp-up of Speciality Chemicals capacities at Cuddalore & Berigai PVC. However, price and margin pressures persisted due to excessive dumping, especially in Suspension PVC. The company remains optimistic about stronger demand, improved pricing, and higher volumes from inventory liquidation.
Key Highlights
- 1
Total revenue grew by 10% & 11% for Q4 & FY25 respectively
- 2
Ramp-up of Speciality Chemicals capacities at Cuddalore & Berigai PVC
- 3
Indian demand for Suspension PVC up by around 8% to 4.3 million mt in FY ‘25
- 4
Price and margin pressures due to excessive dumping in Q4 FY ’25
- 5
Company remains optimistic about stronger demand and improved pricing
- 6
Custom Manufactured Chemicals Division (‘CMCD’) registered a strong performance in FY ’25, with a revenue growth of over 80% on YoY basis
- 7
Prices of Chloromethanes and Hydrogen Peroxide steady
- 8
Firm demand for Caustic Soda - YoY improvement in prices in FY ‘25
Management Comments
Mr. Ramkumar Shankar
Managing Director
During FY25, the company has improved its performance as compared to FY ‘24 with sales increasing by 11% from Rs. 3,923 crores in FY ‘24 to Rs 4,346 crores in FY ‘25, led by production ramp-up of new Specialty Chemicals capacities at Cuddalore & Berigai, Tamil Nadu. The EBITDA improved from Rs. 26 crores to Rs. 219 crores, largely driven by better pricing and margins in both Paste PVC and Suspension PVC (especially in the first quarter of FY ‘25), stronger performance in the CMC segment and higher output from the new Cuddalore Paste PVC facility. However, the company’s profitability continues to be impacted by dumping of both Suspension and Paste PVC into India. While ADD has been imposed on Paste PVC imports from certain countries, continued dumping from the EU has created pressure on prices. This is being investigated and the outcome is expected in the next few months. The ADD on Suspension PVC remains pending due to ongoing legal proceedings. The company remains hopeful of a favorable resolution in both proceedings. The company is also pleased to announce a greenfield capex of ~ 340 crores for the production of R32 refrigerant gas. This project, along with the ongoing MPB expansion under the CMC business, reinforces its strategy to grow in the specialty chemicals space. Looking ahead, the company remains optimistic about stronger demand and improved pricing coupled with higher volumes from inventory liquidation and consistent operation at higher rates of the newly expanded capacities, supported by policy measures and targeted investments in high-return, sustainable businesses.
Informational and educational content only. Not investment advice.