Rossari Biotech Delivers Solid Q1 FY2025 with Revenue and Profit Growth

Rossari Biotech Limited (Rossari), a Specialty Chemicals manufacturer that provides intelligent and sustainable solutions for customers across industries, has announced its financial results for the quarter ended June 30, 2024.

Financial Highlights (Consolidated):

Rossari Biotech Limited (Rossari) reported positive results for the first quarter ended June 30, 2024 (Q1 FY2025).

• Revenue: Grew 19.3% year-over-year (YoY) to ₹489.7 crore, demonstrating strong demand across its product segments.
• EBITDA: Increased by 12.5% YoY to ₹64.9 crore, indicating healthy profitability despite a slight margin contraction.
• Profit After Tax (PAT): Rose 19.5% YoY to ₹34.9 crore, reflecting efficient cost management and operational improvements.
• Earnings Per Share (EPS): Stood at ₹6.3, translating to a growth of 19% YoY.

Standalone Performance

Rossari’s standalone business also mirrored the growth trajectory.

• Revenue climbed 16.4% YoY to ₹300.7 crore.
• EBITDA witnessed a 13.4% YoY increase to ₹39.8 crore.
• PAT grew 12.5% YoY to ₹24.3 crore.
• EPS reached ₹4.4, representing an increase of 12.8% YoY.

Growth Drivers and Future Outlook

The company’s expansion plans, announced in Q2 FY24, to add HPPC (High Performance Personal Care) and Ethoxylation capacities are progressing as per schedule. These expansions are expected to be commissioned in phases during the current year, potentially bolstering future growth.

Overall Analysis

Rossari Biotech’s Q1 FY2025 results demonstrate continued momentum in revenue and profitability. The ongoing capacity expansions promise further growth in the coming quarters. With a focus on innovative and sustainable solutions, Rossari is well-positioned to capitalise on market opportunities and solidify its position as a leading speciality chemicals manufacturer.

“We are pleased to report a strong start to the new financial year, with significant Y-o-Y increases in both revenues and profits by 19.3% and 19.4%, respectively. This performance was largely driven by healthy volume growth both in our HPPC and TSC business. AHN business remained stable during the quarter,” said Mr Edward Menezes, Promoter & Executive Chairman, and Mr. Sunil Chari, Promoter & Managing Director.

He further added, “The HPPC and TSC divisions achieved a robust growth of 21%, reflecting the dedicated efforts of our team in a challenging operating environment. We continue to expand our customer base, which is significantly contributing to our growth story. By targeting customers in both new and existing geographies, we have delivered a strong performance in the international markets during the current quarter. Going forward, we expect exports to be a key growth vertical, further strengthening our position in the global market.”

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