Alkyl Amines Q1 Review - Margin Rebound Led By Lower Than Expected Raw Material Cost: Motilal Oswal

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.Alkyl Amines Chemicals Ltd. reported an in line revenue. The downward trend in gross margin reversed in Q1 FY23, the first time in six quarters, expanding to 50.9%. However, it is still lower from the peak margin of 60.9% in Q3 FY21. Higher gross margin also resulted in a beat of 40% on our Ebitda estimate. Ebitda margin expanded to 24.5% in Q1 FY23. Capacity expansion in Methyl and Ethyl Amines and capacity utilisation ramp up of the recently expanded acetonitrile plant should drive better margin in FY23-24 for Alkyl Amines from 21.2% in FY22. The management had already guided at a capex of Rs 3 billion for FY23, with a new plant being set up for Ethyl Amines (capacity of 35 ktpa), which should be commissioned in H2 FY23. It expects to add additional capacity two-to-three years down the line..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Alkyl Amines Q1 Review - Margin Rebound Led By Lower Than Expected Raw Material Cost: Motilal Oswal

Alkyl Amines Q1 Review - Margin Rebound Led By Lower Than Expected Raw Material Cost: Motilal Oswal

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