Deepak Nitrite Declares Quarterly Results, Indicates Positive Growth in Majority of the Chemical Segments
- Journalist: Robert Hume
Deepak Nitrite, one of the leading chemical manufacturing entities in India, announced its quarterly financial for the Q3 of FY 21 on 12th February 2021. As per the revealed stats, company’s fully owned subsidiary, Deepak Phenolics witnessed an overall increase in its quarterly revenue by 37%, i.e., an increase from INR 5450 million to INR 7470 million from the previous quarter. EBITA also followed an upward trajectory and increased by 36% in line with the positive revenue growth. The company following its plans to increase of utilizing its maximum capacity, reached an overall utilization of around 115% w.r.t to its stated capacity.
Deepak Nitrite has reported an overall increase in its segmental revenue as well, projecting a V-shaped revival from the loss incurred in the initial months of the pandemic. The basic chemical segment of Deepak Nitrite showcased an increase by around 14% on q-o-q basis, the financials for basic chemicals reached to INR 1960 million from INR 1720 million in the previous quarter. In addition, its Polypropylene segment also witnessed an incredible increase by 34 percent i.e., its revenues which were INR 670 million in the previous quarter reached INR 900 million in the quarter ending December 2020. In contrary to the market expectations, its fine and specialty chemicals segment observed stable performance reaching to INR 2110 million w.r.t. INR 2100 million in Q2 FY21.
The company revealed that most of the products in addition to the new pharma products which were included after the onset of pandemic, have witnessed appreciable revenues with favourable price trends and are expected to remain firm in the near term. The company indicated a steep recovery from the slump experienced during lockdown. However, as the demand from several end use industries like textile, paper and detergents are still under doldrums, several performance products are yet to witness a full revival and reach pre-pandemic levels.