Platinum Industries achieves 64.7% revenue growth, hits Rs 2bn milestone in H1 FY25

Platinum Industries Limited, a leading manufacturer of PVC and CPVC additives, announced a remarkable 64.7% revenue growth for the first half of FY25, exceeding ₹2 billion in consolidated revenue. The company, which is the third-largest player in India’s PVC stabiliser market, attributed the growth to robust demand in domestic and international markets.

For the second quarter, revenue surged by 63.6% year-on-year to ₹996.35 million. However, EBITDA margins faced pressure, declining to 15.15% in Q2 FY25, down from 26.58% a year earlier. Despite this, profit after tax (PAT) rose 27% YoY to ₹145.26 million for Q2, with H1 PAT reaching ₹322.64 million, reflecting a 41.3% year-on-year increase.

Strong financial highlights bolster investor confidence

The company’s Profit Before Tax (PBT) for H1 FY25 surged by 43.2% to ₹432.96 million. Chairman Krishna Rana attributed this performance to Platinum’s “resilient business model and long-term growth strategies,” including its expanding global footprint. He further highlighted the company’s shift toward sustainable, lead-free stabilisers, aligning with global regulatory trends.

While EBITDA grew by 9.8% YoY for H1 FY25 to ₹355.59 million, the product mix skew toward lower-margin offerings and increased operating costs led to margin compression.

Strategic expansions promise brighter prospects

Platinum Industries is advancing with ambitious expansion plans. A new 60,000-tonne annual capacity facility in Palghar, India, focused on non-lead-based stabilisers, is set to complete by Q4 FY25. Additionally, a similar facility in Egypt’s Suez Canal Economic Zone will be operational by Q2 FY26, aiming to tap into high-growth MENA and LATAM markets.

These expansions are expected to enhance cost efficiency and logistics, positioning Platinum as a global leader in the specialty chemicals sector.

Expert view on market positioning

Industry experts have lauded Platinum’s strategic focus on sustainability and innovation. Its collaboration with HMS Concept E.U. and in-house R&D capabilities are seen as critical differentiators. “The focus on eco-conscious solutions is a strong move,” an analyst noted, highlighting the demand for sustainable stabilisers in global markets.

Resilience amidst challenges

Despite facing margin headwinds, Platinum Industries has demonstrated robust shareholder returns, with earnings per share (EPS) of ₹5.75 for H1 FY25. The company also hinted at exploring acquisitions in Europe to accelerate its market penetration.

Chairman Rana reiterated the company’s commitment to leveraging its “strong balance sheet and IPO proceeds” to fuel expansion and innovation.