Meghmani Organics Reveals Financials, Reports Decline in Profits but Envisions Strong Footprints in the Indian Epichlorohydrin Market
Net profit of Meghmani Organics declined 28.19% to INR 476 Million in the quarter ended December 2019 as against INR 663 Million during the previous quarter ended December 2018. Company’s chemical sales declined 5.45% to INR 5.2 Billion in the quarter ended December 2019 as against INR 5.5 Billion during the previous quarter ended December 2018. However, the company is likely to improve its position in the Indian chemical industry through its own Epichlorohydrin plant at the Chlor Alkali and Derivatives Complex, Dahej which it is planning to set up by 2021. ECH is an essential feedstock to produce epoxy resins, which is increasingly used in various applications including corrosion protection coatings in Industrial, automotive, packaging. The capacity of the plant will be 50000 MT per annum, and it will operate by using TechnipFMC EPICEROL Technology. This technology uses glycerin as a feedstock and is of great interest to downstream users for cost-effective production. The project is expected to generate a revenue of approximately INR 4.6 Billion per annum while investing a capital expenditure of INR 2.75 Billion.