Packaging material-maker Jindal Poly Films today reported a whopping 534 per cent jump in net profit to Rs 221 crore for the third quarter of FY'11 on the back of higher sales and prices of BoPET products.
The company had reported a net profit of just Rs 34.85 crore for the same period last fiscal, it said in a statement.
Jindal Poly Films is the largest manufacturer of biaxially-oriented polyethylene terephthalate (BoPET) and biaxially-oriented polypropylene packaging (BOPP) materials in the country.
Net revenue of the company went up by 89.21 per cent to Rs 782.95 crore in Q3, FY'11, from Rs 413.78 crore in the October-December quarter of the previous fiscal.
"The company is consistently reporting good performance due to robust growth in demand and higher price realisation for its products," Jindal Poly Whole-Time Director Samir Banerjee said.
Because of a global shortage of BoPET film, the price of the material has doubled from Rs 90 a kg at the beginning of the year to around Rs 200 a kg now.
Export revenue of the company went up by 226.48 per cent to Rs 231.74 crore during the quarter from Rs 70.98 crore in the corresponding quarter of the previous fiscal.
Jindal Poly has already embarked on a capacity expansion programme at its existing plant at Nashik, in Maharashtra, through a Rs 900 crore investment and the project is expected to be completed within 2011-12.
This brownfield expansion will take the firm's BoPET manufacturing capacity to 187,000 tpa from 127,000 tpa and BoPP capacity to 246,000 tpa and 180,000 tpa, respectively.
The company had earlier said it aims to clock a turnover of Rs 3,000 crore in the current fiscal, compared to Rs 1,655 crore in 2009-10.
