Fineotex Registers H1 FY22 Revenue Growth Of 66.5%

High momentum in the specialty chemical space saw larger orders and the double-digit volume growth will continue.

Fineotex Chemical founded in 1979 is one of India’s largest and most progressive specialty chemical manufacturers. The company manufactures specialty chemicals for a host of industry segments including textiles, oil and gas, and the home and hygiene space. Its wide array of products covers the end-to-end value chain for the textile industry including pretreatment, dyeing, printing, etc.

Commenting on the company’s results, Sanjay Tibrewala, Executive Director, said, “This quarter reflects the enduring ways our products helped each customer meet their ambitious goals as they set out to dream big after Covid. Exciting times lay ahead; we have already seen an increase in demand for specialty chemicals from sectors across the board. We have increased our wallet share and the higher demand for our sustainable products and solutions has resulted in greater volume growth, especially from the textile industry. Our order books are looking very strong and business momentum has picked pace. I am delighted to announce that we have ended the second quarter of 2021-22 on a positive note and registered a top-line growth of 67% YoY and the EBITDA growth of 75% YoY”.

Financial Highlights:

Consolidated (Y-o-Y)

· Revenues in Q2 FY22 of Rs. 785 mn, up 43.4%; H1 FY22 of Rs. 1,418 mn, up 66.5%

· EBITDA in Q2 FY22 of Rs. 148 mn, up 48.5%; H1 FY22 of Rs. 246 mn, up 74.9%

· Profit after tax in Q2 FY22 of Rs. 111 mn, up 1%; H1 FY22 of Rs. 208 mn, up 8.4%

Standalone (Y-o-Y)

· Revenues in Q2 FY22 of Rs. 598 mn, up 99.8%; H1 FY22 of Rs. 1,011, up 150.6%

· EBITDA in Q2 FY22 of Rs. 129 mn, up 97.2%; H1 FY22 of Rs. 196 mn, up 132.3%

· Profit after tax in Q2 FY22 of Rs. 103 mn, up 27.2%; H1 FY22 of Rs. 174.1 mn, up 19.5%

Strategic Collaborations in FY22

· With the tie up with Eurodye-CTC, Fineotex added to its portfolio specialised pre-treatment and dyeing products for the cotton-synthetic and woolen fibre, fabric and yarn. This coupled with the existing Indian operations of Eurodye-CTC has enhanced FCL’s offerings and increased the customer base

· The joint venture with HealthGuard®, Australia as an exclusive channel partner for their entire range of products, will provide the Indian market with solutions that are durable and sustainable. The products are antimicrobial and anti-viral and will cater to an increasing demand for hygienic and safe textile solutions