Chemplast Sanmar Limited has reported Q4 FY22 revenue of Rs. 1,807 crore up 35% vis-a-vis Q4 FY21 whereas profit was Rs. 232 crore up 29% vis-a-vis Q4 FY21.  The company’s revenue for FY22 increased by 55% to reach Rs. 5,892 crore whereas net profit increased by 109% to reach Rs. 649 crore.  In FY22, revenues grew at a healthy rate owing to strong volume off-take and higher realisation across all key products – Specialty Paste PVC resin, Suspension PVC, Chloromethanes, and Caustic Soda. In Q4 FY22, revenue grew by 35% on YoY basis due to pick-up in demand coupled with better realisation for most of the products. The company also liquidated excess inventory of Specialty Paste PVC resin and Suspension PVC built up in Q3 FY22. The Suspension PVC prices rebounded in Q4 FY22 with a pick-up in demand and supply tightness around the world. Caustic prices continue to remain strong on structural tightness globally. A 10% increase in Suspension PVC capacity through debottlenecking is expected to come fully online by Q1 FY23. This is a phased debottlenecking, part of which is already completed. In April 2022, CRISIL Ratings upgraded the ratings for both the company and its wholly-owned subsidiary to AA-/Stable for long term bank facilities and A1+ for short term bank facilities. Commenting on the results, Ramkumar Shankar, Managing Director, Chemplast Sanmar Limited said, “We delivered a very strong fiscal year 2022 marked by an important milestone in our history, our IPO. Our focus on consistently delivering outstanding operational results, combined with our dedication to strengthening our balance sheet, has helped us advance our performance by every passing quarter in this year. We delivered our highest ever revenue of Rs. 5,892 crore (55% growth on YoY basis) with a healthy EBITDA margin of 20.3%. We also achieved the highest ever net-profit of Rs. 649 crore (a YoY increase of 109%) and a record EPS of Rs. 43.66.” While there are some short-term challenges, particularly arising out of the lockdowns in China, the outlook across our product portfolio remains very positive, said Shankar.  “We have started work on restoring our caustic capacity to the fully installed level of 119 kt which should also be completed in FY24. Looking ahead, we will build on our achievements in FY23 as we advance our ambitions. We expect our performance to continue to benefit from supply tightness on both Paste PVC and Suspension PVC, as also the strong position of Caustic Soda and the growth in custom manufacturing,” added Shankar. 

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