Haldia Petrochemicals Ltd (HPL) has posted highest ever gross sales turnover and EBDIT (earnings before depreciation, interest and tax) for the second quarter ending September 30.
The company has clocked a gross sales turnover of Rs 750 crore during the period, compared to Rs 475 crore in June quarter.
EBDIT also witnessed robust growth during the period, standing at Rs 91 crore as against only Rs 25 crore last quarter.
The plant achieved a capacity utilisation of 90 per cent during the period as compared to 60 per cent in the previous quarter.
HPL now commands a market share of 22-23 per cent, making it the second largest company in the product category in which it operates.
HPL produces polymers like HDPE (high density poly ethylene), LLDPE (low linear density poly ethylene) and PP (poly propylene).
The annual production capacity of said products in the country is 3.1 million tonne, while 2.1 million tonne is the consumption.
The first quarter for the company was difficult as it had little cash to buy naphtha. Production suffered as loan repayment created crunch in working capital requirement.
Moreover, during April-May, market was bad as companies had dumped products in March, creating a glut.
In 2001-02, HPL posted a net loss of Rs 501 crore in last fiscal and it has recorded EBDIT of Rs 75 crore.
Sources said net loss would be significantly lower if the new terms on loan package placed before IDBI comes into effect.
Under the proposed debt restructuring package, creditors bring down interest rates, increase moratorium on repayment of principal and turn Rs 400 crore debt into equity and preference shares.
It would convert Rs 330 crore accrued interest into five-year term loan. The package would depend on the promoters first infusing Rs 700 crore into HPL.
The promoters would have to bring in Rs 500 crore by November 30. Of this, Rs 200 crore was proposed to be put in by GAIL as equity after due diligence of HPL
