Apcotex Industries zooms 20% as Q3 profit rises more than double

The hit a record high of Rs 562, up 20% on BSE, after the company reported net profit of Rs 133 million in Q3FY18 against Rs 50 million in a year ago quarter.

Apcotex Industries zoomed 20% to Rs 562, also its all-time high on BSE in intra-day trade, after the company reported more than double net profit of Rs 133 million for the quarter ended December 2017 (Q3FY18). It had a profit of Rs 50 million during the same quarter in last fiscal.

Revenue during the quarter under review grew 20% at Rs 1,379 million against Rs 1,148 million in the corresponding quarter of previous fiscal. EBITDA (earnings before interest, tax, depreciation and amortization) margin improved 715 bps to 12.55% from 5.4%.

EBITDA margin improvement due to a combination of higher sales, lowering of cost structure especially at Valia, better margins and good raw-material buying, Apcotex Industries said in a statement.

The company saw good growth in volumes across all the industries that it caters to. The volumes from one of the biggest customers in the paper industry slowly coming back to normal levels, while most of the quality related issues have been addressed which has helped to increase the market share in Nitrile Rubber, it added.

Apcotex Industries is a leading producer of synthetic rubber (nitrile rubber, high styrene rubber, nitrile polyblends and nitrile powder) and synthetic latex (XSB latex, VP latex, styrene acrylics and nitrile latex) in India.

At 10:59 AM; the stock was trading 15% higher at Rs 540, as against 0.64% gain in the S&P BSE Sensex. A combined 120,232 equity shares changed hands so far as compared to an average sub 50,000 shares that were traded daily in past two weeks on BSE and NSE.