Balaji Amines delivers strong performance in Q1FY12, targets Rs 900 cr turnover in next 3 yrs

• Planned to invest Rs. 50 Crores in methyl amines expansion plant
• Launching a new product by investing Rs. 20 Crores by next fiscal year
• Starting Hotel Project in Solapur which will be completed by Dec 2012

Balaji Amines has clocked a turnover of Rs. 114.24 Crores. during the first quarter of this accounting year. This turnover is 45.12% more than the same period next year. Last Year the same quarter the turnover was Rs. 78.91 Crores.

Further, the company has registered the net profit of Rs. 7.16 Crores. during first quarter of this fiscal. This profit is 15.17% more than the same period of the last fiscal. During the first quarter of the previous year the net profit was registered at Rs. 6.22 Crores.

Speaking on the results, Mr. D Bala Reddy, Director Commercial of Balaji Said “The environment for the Chemical Industry continues to look encouraging aided by higher demand in the market. The Company’s global reach has been further strengthened. We are now well geared to capitalize on the promising opportunities and continue to look at the future with optimism.”

Expansion plans:-

During this financial year the company has undertaken an expansion project to manufacturing Methyle Amines at MIDC Chincholi Industrial estate in Solapur. After completion of this project the production capacity will increase to $4000 tons per year respectively. The production is expected during the fourth quarter of current year. The capital investment on this project is of Rs. 35 Crores.

To meet the increasing demand, the company has taken up expansion project of DMAHCL with a capacity of 10000 MTA p.a. with a capital outlay of Rs. 15 Crores. This project is expected to be commissioned during third quarter of 2012-13.

New Product:-

The company has undertaken setting up of a new plant for manufacture of Di Methyle Formamide at Chincholi Industiral estate Solapur by investing Rs. 20 Crores. With a capacity to manufacture 30,000 MT p.a. The project is expected to be commissioned during mid of 2012-2013.

According to the company sources after completion of both these projects the expected turnover in next three years will be around Rs. 900 Crore.

Hotel Industry:-

The company is setting up a Hotel in Solapur containg 100 rooms. The construction work for the same is in full swing. To manage this hotel the company has tied up with a reputed Sarovar Group and the hotel will be named as "Balaji Sarovar Portico." The projecte is expected to get completed by Dec 2012.