Jubilant Ingrevia Q2 profit up 43% YoY to Rs 111 cr

Speciality, nutrition and life science chemicals company Jubilant Ingrevia has reported 43 per cent growth in its net profit to Rs 111 crore for the quarter ending September 2021 vs Rs 77 crore net profit during the same period last year.

The company's revenue for the said quarter jumped 56 per cent to Rs 1,223 crore compared to Rs 406 crore revenue in Q2FY21. The EBITDA also grew 44 per cent to Rs 202 crore for the July-September quarter vs Rs 140 crore in the same quarter last year. Jubilant Ingrevia's EBITDA margins, however, fell to 16.5 per cent vs 17.9 per cent during the same period last year. Its net margin dipped to 9.1 per cent in Q2FY22 vs 9.9 per cent in Q2FY21.

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Shyam S Bhartia, Chairman and Hari S Bhartia, Co-Chairman, Jubilant Ingrevia Limited, in a joint statement, said the company is excited with the growth opportunities. "We have developed strong product pipeline using in-house R&D, our technical expertise into various chemistry platforms and long-standing relationship with global pharmaceutical and agrochemical customers including innovators. We are prioritising and investing in several growth capex in next 2-3 years to launch these products to achieve our growth target of doubling the revenue by FY’26 from the base of FY’21."

Speciality chemicals revenue grew by 17 per cent YoY, driven by volume growth across product segments, while nutrition and health solutions revenue grew by 43% YoY. Life sciences chemical segment saw 84 per cent YoY revenue growth on higher prices on account of favorable market conditions.

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In the first half of the fiscal year, the company's revenue grew 56 per cent on YoY basis, driven by robust growth in volume and prices. Profit after tax (PAT) for H1 FY22 stood rose 115 per cent YoY to Rs 279 crore,  driven by growth in EBITDA and aided by reduction in finance cost.

In its growth outlook, the company has said demand of most of its products is expected to remain "strong" in H2. "Though input costs are increasing, our business teams are confident to pass on the incremental costs by working closely with customers." The company's expected capex cash outflow for the year will be in the range of Rs 350 crore.

Meanwhile, the Jubilant Ingrevia stock ended at Rs 697.95, Rs 112 or 13.85 per cent down, on the NSE today.

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