Piramal Glass Limited, (PGL) (NSE: PIRGLASS, BSE: 532949), a Piramal Group company and a leading global manufacturer of flaconnage (glass containers) for Cosmetics & Perfumery, Specialty Foods & Beverages and Pharmaceuticals industry has reported continued growthin first quarter (Q1) of FY2011 by recording a jump in its consolidated net profit to Rs 17.6 crore compared to a loss of Rs 20.84 for the same period last year. Consolidated sales for the quarter ended 30 June 2010 grew by 13.3 % to Rs 283 crore over Rs 251 crore in Q1 FY2010.
Operating EBIDTA for Q1 FY2011 increased by 40% to Rs 62.8 Crore over Rs 44.9 crore in Q1 FY2010. Operating EBITDA Margin in Q1 FY2011 has increased to 22.5% from 18.3% in corresponding period last year.
Commenting on the company’s performance for Q1 FY2011, Mr. Ajay Piramal, Chairman, Piramal Group said, “We’re thrilled to report continuous growth for Piramal Glass and we are committed for a sustained growth. Our decision to target emerging economies is also paying off well as BRIC countries have contributed 35% of sales. We have achieved an annualized ROCE and ROE of 13% and 24% respectively for Q1 FY2011 and we are very hopeful and confident of maintaining the growth momentum for the rest of the year.”
For Q1 FY2011 annualized EPS stands at Rs 8.8 Cr while cash EPS stands at Rs 20.2. During the same period Interest cost as % to sales has decreased from 15 % to 6% due to reduction in debt & interest cost.
This quarter also demonstrated the best performance till date of PGL’s US subsidiary with sales growing by 20% and EBIDTA & PAT margins were at 14% and 6% respectively.
Vijay Shah, Managing Director Piramal Glass said, “The major expansion in the margins is due to increased focus in high margin Cosmetic & Perfumery segment which has grown by 35% and contributed 48% of the total sales. We expect this segment to further increase contribution to sales going forward as recently we have bagged the world’s second largest cosmetic & perfumery producer, Coty adding to 17 out of 20 global C&P majors being our clients. Overall we are confident of further improving EBIDTA margins and sales growth.”
About Piramal Glass Limited:
Piramal Glass Limited (“PGL”, erstwhile Gujarat Glass Limited) is a leading global manufacturer of flaconnage (glass containers) for pharmaceuticals, foods & beverages and cosmetics and perfumery industries. The Company had revenues of Rs 1,100 crores in FY2010. PGL has a global footprint, with manufacturing facilities located in USA, Sri Lanka and India. The Company markets its products to more than 54 countries across the globe. The Company is also the largest producer of nail-polish bottles globally, with more than 30% market share. PGL is listed on the National Stock Exchange (Ticker: PIRGLASS), the Bombay Stock Exchange (Ticker: 532949) and Ahmedabad Stock Exchange (Ticker: 20219).
About the Piramal Group:
The Piramal Group is one of India’s foremost business conglomerates. Driven by its core values of Knowledge Action Care, the Piramal Group has interests in a myriad of industries that encompass healthcare, drug discovery & research, diagnostics, glass, real estate and financial services. It steadfastly pursues inclusive growth while adhering to ethical and value driven practices. The Group’s turnover exceeded $1 billion in FY2010.
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