Finolex Industries Q3 PAT down -31.6% at Rs177.43cr on sharp spike in raw material costs

26 Jan 2022 , 08:11 PM

Finolex Industries Ltd reported -5.7% lower total revenues yoy for the Dec-21 quarter on consolidated basis at Rs1,005.25cr.

On a sequential basis, the revenues were lower for the quarter by -7.17%. During the quarter, the company saw low sales of PVC but an improvement in the sales of PVC pipes and fittings.

Both the agri sector and the construction sector saw weak demand leading to lower sales on a yoy basis.

The consolidated Profit after tax (PAT) for the Dec-21 quarter was down -31.6% at Rs177.43cr on higher revenues offset by spike in raw material costs.

Despite lower sales on a yoy basis, the raw material costs were up 32% at Rs887cr. In terms of verticals, EEBIT of PVC business was down as was the EBIT on the PVC pipes and fittings business.

Net margins tapered from 24.33% in the Dec-20 quarter to 17.65% in the Dec-21 quarter. Net margins were also sharply lower sequentially due to higher raw material costs.

Financial highlights for Dec-21 compared yoy and sequentially

	Finolex Industries
Rs in Crore	Dec-21	Dec-20	YOY	Sep-21	QOQ
Total Income (Rs cr)	₹ 1,005.25	₹ 1,066.06	-5.70%	₹ 1,082.95	-7.17%
Net Profit (Rs cr)	₹ 177.43	₹ 259.40	-31.60%	₹ 233.25	-23.93%
Diluted EPS (Rs)	₹ 2.86	₹ 4.18		₹ 3.76
Net Margins	17.65%	24.33%		21.54%