I take absolute pleasure in reaching out to you for the first timethrough our annual report following a successful listing. I am grateful for theoverwhelmingly positive response to our initial public offering (IPO) which wasoversubscribed 77 times. As a company we are honoured by your trust and this responsereinstates our faith in our business strategy and a promising future. This is a big momentfor all of us at Tarsons heralding a new beginning in our 39 years of history. Thesupport we receive from you continues to inspire us to work harder."
I am happy to announce a successful conclusion to 2021- 22. Tarsonsmaintained a track record of being India's leading Plastic Labware manufacturerproviding the superior quality labware products. We supply products to the life sciencesindustry under our brand label TARSONS with our central business theme - TRUST DELIVERED.Being in an industry historically dominated by global MNCs we have won the trust of thescientists' community in India and we are proud of this achievement. Ourdifferentiated user-friendly cost-effective products reduces dependency on import whileensuring consistency of high quality. The consistency and benefits that our products bringalong translate into the impeccable trust we have earned through these last few decades.
Macro-Economic & Industrial Landscape
The year 2021 presented significant opportunities for the overalleconomy. Following the first quarter of 2021-22 India experienced shoots of growth withconsiderable demand in core sectors. Today as the demand and consumption levels return tothe pre-pandemic levels increased Government and private consumption are helping rebuildour economy by giving it a much-needed boost. As determined by the Index of IndustrialProduction (IIP) production levels rose by 17.4% during the April-November 2021 periodmarking the beginning of India's revival and growth narrative.
The demand for laboratory equipment like Centrifuge Liquid Handlingsystems and PCR instruments is huge in India. Growth in the healthcare services andpharmaceutical market is growing due to improving healthcare infrastructure which isdriving the lab equipment market. The growth of the pharmaceutical sector investment intoR&D and the rising diagnostic centres in India are all boosting the demand forlaboratory equipment.
With the growing demand for our products and increased wallet shareamong customers year after year we continue to grab market share across segments. This ishelping strengthen our geographical presence by delighting our customers with our widerange of labware products. We are optimistic that our performance will align with orexceed our historical growth pace. On a YoY basis our domestic and export revenue grew by31.4% and 31.3% in 2021-22 respectively. We are enhancing our focus on export to tap theenormous potential of the export business by delivering our best-in-class products.
We have been constantly growing our product portfolio to add moreofferings to our basket. We are increasing our manufacturing capacity to cater the growingdemand for popular product categories such as Liquid Handling Centrifuge Ware and CryoWare through investment in additional machines moulds and ancillary infrastructure.
In line with the idea of expanding our portfolio we have acquired 5acres of land to develop a new manufacturing facility in Panchla West Bengal. We intendto grow and enter new product segment Cell Culture through this plant. Further we planto develop a new fulfilment centre in Amta West Bengal to integrate our warehouseoperations. We also aim to achieve backward integration in our manufacturing process bybuilding an in-house sterilization centre for captive consumption with a target tocomplete the project by H1 of 2023-24. Besides we continued to invest in automation toensure high-level of accuracy and purity with mimimum human intervention. We will alsomanufacture some products apart from constructing warehouse and radiation plant. Therebyprogressing on our course by adapting to relevant changes and trends.
The year 2021-22 ended on a high note with strong revenue numbershigher profitable growth and stronger margins led by improved product mix and higheroperational efficiency. We implemented strategic cost-saving and efficiency improvementprocesses. This was done with the intent to enhance productivity which resulted in agrowth of 46% PAT compared to 2020-21. Some of the financial highlights of the year wereas follows:
Revenue from operations increased by 31% compared to the lastfinancial year and stood at Rs 301 Crores while our Gross Profit margins jumped from73.1% to 79.1% showcasing our higher profitable business model
EBITDA margins stood at 50.8% while EBITDA increased and stoodat Rs 153 Crores demonstrating a growth of 48%
PAT for the financial year 2021-22 stood at Rs 101 Crores whilePAT margins stood at 33.5%
Overall it proved to be a good year and we clocked in robustfinancial performance delighting our shareholders and investors.
The demand for labs research pharma and diagnostic companies iscontinuously growing increasing the demand for Labware products in turn. As a company weare well placed to grow our domestic and export businesses backed by our new productlaunches and capacity expansion.
We expect our diverse product portfolio long-standing customerrelationships and the goodwill earned with consumers suppliers and other stakeholdersover the years to translate into a strong performance in the coming years.
Vote of Thanks
On behalf of the entire Board I thank all our stakeholders who havebeen part of our journey. I once again welcome the newest members i.e. the shareholdersin our family and thank them for trusting us. I would also like to thank our customerssuppliers vendors and bankers for their continued faith and support. Finally our journeyis incomplete without our people and I express my deep gratitude to them for havingworked towards accomplishing our vision.
Chairman & Managing Director