Supreme Petrochem reported a 6 per cent fall in revenue to Rs 681 cr as compared to Rs 722 cr year-on-year (YoY) in the second quarter (Q2) of FY17. Profit after tax (PAT) soared marginally to Rs 28 cr in the quarter gone-by. Lower commodity prices led to lower revenue in the second quarter (Q2), said Rakesh Nayyar, Executive Director (ED) of Supreme Petrochem. Volume growth in Q2 was 12.7 per cent. In FY17, Nayyar expects revenue growth of 12 per cent. Meanwhile, Supreme Petrochem share price soared 5.4 per cent intraday on the NSE.
Their revenue is also linked to their raw material prices. In the corresponding quarter of last year, the raw material prices were very high. This year, the prices of the raw material had been stable and at the lower end. This was the reason the end product prices were low and the overall total revenue looked down. However, as far as the volumes are concerned, in the domestic market they had a good growth of over 12.7 per cent as compared to the corresponding quarter last year.
According to Nayyar, they would be doing around 12 per cent growth for the year as a whole. They should be in all total volumes including their exports they should be doing 12 per cent growth this year. That 14 per cent must be for the domestic market but for the cumulative including their exports, the total volumes would be in the range of 11-12 per cent for them.
As far as the raw material prices were concerned, Nayyar stated that last year the prices were ruling at around USD 1,300 plus for the raw material which towards the end of the quarter had sharply fallen and that was the reason they had an inventory loss last year and this year the quarterly prices were stable and they were closer to USD 1,000 or so as against the USD 1,300 last year. For more details on the stock, visit Supreme Petrochem share price history.
No comments:
Post a Comment