GHCL Limited
REVENUE: INR 849
Revenue: INR 849 crores (QoQ: +1.1%)
EBITDA: INR 235
EBITDA: INR 235 crores (QoQ: +17%)
PAT: INR 151
PAT: INR 151 crores (QoQ: +20.8%)
NET CASH SURPLUS:
Net Cash Surplus: INR 676 crores
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Financial Performance
Revenue for the quarter came in at INR849 crores compared to INR840 crores in Q4 of last year.
This shows a slight increase in revenue, indicating stability despite previous strong performance.
EBITDA for the quarter stood at INR235 crores and margins at 27.7%. This is an increase of nearly 4% from Q4 of last year.
The increase in EBITDA and margins reflects improved operational efficiency and cost management.
PAT before exceptional items stood at INR151 crores compared to INR125 crores in Q4 of FY'24.
This improvement in profit after tax indicates a positive trajectory in profitability.
Business Operations
Our operational excellence performance was better on a sequential basis on the back of higher volume and lower input costs.
This highlights the company's focus on operational efficiency and cost management, which is crucial for maintaining profitability.
In India, we continue to see Y-o-Y increase in consumption, whereas in the consumption of volume, import is declining due to supply chain disturbance.
This indicates a strengthening domestic market position amid global supply chain challenges.
Growth Initiatives
We are developing a greenfield soda ash plant with a 500,000 metric-ton capacity.
This expansion plan is a significant step towards increasing production capacity and meeting future demand.
We have been allotted 6,449 hectares of lease land at Zara Zumara, Kutch for salt production for a period of 30 years.
This milestone will support both salt production and bromine expansion, enhancing the company's growth prospects.
Market Dynamics
The global demand scenario for soda ash remained mixed. While in certain pockets, demand had stayed strong, the pricing overall is moderated.
This reflects the challenges in the market but also highlights areas of opportunity for growth.
Future Outlook
We believe our strong operational performance will be supplemented by strong financial performance.
This statement indicates confidence in the company's ability to navigate current challenges and achieve financial growth.
While in the short to medium-term, the current operating environment may continue, we remain encouraged with the volume outlook, cost outlook and the growth initiatives that we have planned.
Acknowledging potential challenges while maintaining a positive outlook on volume and cost management.