Driven by improved volume offtake on account of enhanced capacity utilisation of DMF and new ethylamines plant in Q1 FY23, Balaji Amines’ revenues grew 48.7 per cent to ₹670.17 crore as against ₹450.68 crore in the corresponding period of the previous year. Overall volumes, on the other hand, grew 7 per cent to 27,358 mt, though this barely unveils underlying trends not least due to changing product mix. However, moderation in raw material prices explains the drop of almost 14 per cent sequentially in topline.
Operating profits grew apace the top-line exhibiting a growth of 51.7 per cent in Q1 FY23; Balaji Specialty Chemicals’ margins soared due to supply disruptions globally and continuing healthier price realisations across most of the products.
Balaji Specialty Chemicals raked in record sales of ₹224 crore in Q1 FY23 compared to ₹79 crore in Q1 FY22, driven by higher realisations in EDA and robust demand from end-user industries. Constraints in availability of key raw materials had earlier deterred the company from operating the subsidiary plant at full capacity; however, easing of supply bottlenecks would aid the subsidiary in operating the plant at higher utilisation in the current fiscal.
Growth in the current fiscal would be primarily on account of ramp-up in utilisation of EDA ethylamines, and capacity additions from the new DMC plant.