Epigral Limited reports strong financial growth in Q4FY24, announces dividend

Epigral Limited, one of India‘s leading integrated chemical manufacturers, today announced its financial results for the fourth quarter of the fiscal year ending March 31, 2024. The Tata Enterprise reported a significant 55% increase in Profit After Tax (PAT) for Q4FY24, amounting to ₹77 Cr, up from ₹49 Cr in Q3FY24. This performance is highlighted by a robust quarterly revenue growth of 11%, reaching ₹525 Cr compared to ₹472 Cr in the previous quarter. Additionally, Epigral has declared a final dividend of ₹5 per equity share, which is 50% of the face value, for FY2024.

Under the leadership of Chairman and Managing Director, Mr. Maulik Patel, Epigral has shown commendable performance amidst challenging macroeconomic conditions and subdued market demand. The company achieved a 15% volume growth in FY2024, with significant contributions from new projects commissioned in FY2023. The Derivatives & Specialty business segment notably increased its revenue contribution to 45% in FY2024, up from 30% in FY2023, aligning with the company’s strategic diversification plans.

Q4FY24 saw Epigral improving its capacity utilization to 83% from 81% in Q3FY24, and the company reported a drop in year-on-year product realizations across all products, with ranges between 15% to 37%. Despite these drops, the company managed an impressive quarter-on-quarter EBITDA growth of 27%, totaling ₹155 Cr up from ₹123 Cr, and expanded its EBITDA margin to 30% from 26% in the previous quarter.

Looking ahead, Epigral is set to continue its growth trajectory with several strategic expansions. The company recently increased its CPVC Resin capacity to 75,000 TPA and announced plans to enter the CPVC Compound market with a capacity of 35,000 TPA, expected to be operational by Q1FY25. Additionally, the Chlorotoluenes Value Chain is slated for commissioning in Q2FY25. These expansions are part of Epigral’s ongoing commitment to strengthen its market position and cater to a growing global demand.

Epigral Limited’s strategy of diversifying its product offerings and focusing on high-margin specialty chemicals has positioned it well to navigate the fluctuating market dynamics. The company’s emphasis on innovation and expansion, evidenced by the inauguration of its R&D Centre and the commissioning of a Wind Solar Hybrid Power Plant, underscores its commitment to sustainable growth and enhancing stakeholder value.