Meghmani Finechem Limited (MFL), a leading integrated manufacturer of chemicals in India, Q2 FY23 revenue rose 64% to Rs. 556 crore on account of high realizations from Chlor-Alkali and Hydrogen Peroxide.

Chlor-Alkali grew by 65% and Derivatives grew by 59%. EBITDA increased 79% to Rs. 180 crore while maintaining EBITDA margin of 32% vs 30% in Q2 FY22. Profit increased 95% to Rs. 92 crore and PAT margin improved by 267 bps for Q2 FY23. 

Commenting on the results, Maulik Patel, Chairman and Managing Director, MFL said, “We achieved highest-ever revenue in Q2 FY23. The performance of the quarter is on account of high realizations from the majority of our products. H1 FY2023 was an exciting period as we commissioned all our planned expansion projects, namely – India’s first Epichlorohydrin plant, India’s largest CPVC resin plant, and additional capacity of Caustic Soda. Our team is working towards enhancing contribution from these new projects and expects a substantial contribution towards revenue by the third quarter of the current fiscal.”

“Our vision is to become a fully integrated complex catering to diversified industries, hence we will be further adding downstream chemistries where Chlorine, Hydrogen and other chemicals will be used as a raw material. Our focus is to identify molecules and chemistries which will provide us high margins and are an extension of our existing product portfolio,” added Patel.

The capacity utilization for Chlor-Alkali stood at 85%, CMS stood at 104%, and H2O2 was at its highest at 97%. Caustic Soda and Caustic Potash ECU realization was up 77% and 120% respectively.

Revenue for H1 FY2023 grew 73% to Rs. 1,088 crore on account of 3% volume growth and high realizations from all the products vs H1 FY22. EBITDA grew 91% to Rs. 368 crore and margin improved to 34% on account of higher realizations vs 31% in H1 FY22.

Expansion project of Chlorotoluene and its value chain and for R&D centre is moving as per schedule.

MFL’s Dahej facility is a backward and forward integrated and automated complex with well-established infrastructure and captive power plants. The company is India’s 4th largest manufacturer of Caustic Soda, Chlorine, and Hydrogen and a leading manufacturer of Caustic Potash, Chloromethanes, and Hydrogen Peroxide.

MFL is the 1st to set up an Epichlorohydrin plant and the largest capacity plant of CPVC resin in India and is further expanding into Chlorotoluene and its value chain to strengthen its position in the Specialty Chemical segment.

Register Now to Attend NextGen Chemicals & Petrochemicals Summit 2024, 11-12 July 2024, Mumbai