Rossari Biotech posts 37 pc revenue growth at Rs 218 crore

Mumbai (Maharashtra) [India], May 15 (ANI): Speciality chemicals manufacturer Rossari Biotech has posted 37 per cent increase in its revenues from operations during the quarter ended March at Rs 218 crore as against Rs 160 crore in the year-ago period.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) moved up 47 per cent to Rs 35 crore from Rs 24 crore.

Profit after tax too jumped by 47 per cent to Rs 22 crore in Q4 FY21 from Rs 15 crore in Q4 FY20. Earnings per share stood at Rs 4.29 as against Rs 3.06.

Chairman Edward Menezes and Managing Director Sunil Chari said the growth was primarily driven by a robust and continued uptick in sales in the home, personal care and performance chemicals (HPCC) segment led by higher offtake in hygiene products and anti-viral portfolio sales.

"We are confident that stabilisation of demand environment and improved consumption will lead to stronger and sustainable growth in the quarters ahead," they said in a joint statement.

In addition, normalisation in demand and improved consumption across textile specialty chemicals, and animal health and nutrition segments assisted overall results.

For FY 2020-21, the board of directors has recommended a dividend of Rs 0.50 per share.

The company has operationalised a new manufacturing unit at Dahej in Gujarat with an installed capacity of 1.32 lakh tonnes per annum to double its capacity.

Rossari Biotech expects to sustainably ramp up utilisation levels at the Dahej unit over the next three to four years. It will be further augmented by RD, automation, administration and other corporate facilities in coming quarters.

The board of directors has also approved allotment of 30.12 lakh equity shares with a face value of Rs 2 each on preferential basis with a floor price of Rs 996 per unit aggregating to Rs 300 crore.

The company plans to utilise net proceeds to invest in inorganic growth opportunities within its core chemistries. (ANI)