Polyplex Corp shares jump 9% after firm reports net profit in Q1 versus a net loss in same quarter last year

Polyplex reported a net profit of ₹30.59 crore during the first quarter compared to a net loss of ₹18.53 crore in the same quarter last year. Revenue from operations rose 8% YoY to ₹1,685.60 crore during the quarter while total revenue increased 8.81% to ₹1,711.52 crore.

Operating earnings before interest, tax, depreciation, and amortisation (EBITDA) rose a whopping 168% YoY to ₹164 crore during the quarter.

The firm stated that subsequent to the quarter-ended June 30, 2024, the group has incurred a loss due to flooding at one of its plants. “Though the loss is covered by insurance policy, the group is in process of evaluating the impact of such loss. Based on its initial assessment, it does not believe that the impact is material,” the company said.

It also notified that a brownfield BOPET Film Line project with a capacity of 50 kilotonnes per annum (KTPA) by Polyplex USA, a wholly-owned subsidiary of Polyplex (Thailand) (PTL) is progressing satisfactorily as per the revised plan.

Polyplex (Thailand) and its subsidiaries reported total revenues of ₹1,319.84 crore and a net profit of ₹84.09 crore for the quarter ended June 30, 2024.

Meanwhile, the board of directors of Polyplex Corp has declared a final dividend of ₹1 per equity share for the fiscal year 2024. Polyplex is primarily engaged in manufacturing polymeric films and has the seventh-largest capacity of polyester films globally. The company supplies its products to about 2,675 customers in 85 countries across Europe, the Americas, the Indian subcontinent, far east, Asia Pacific and the Middle East.

Shares of the company have gained over 18% since the beginning of the year. The stock has risen over 12% in the last one year.