Astec LifeSciences Limited announced a challenging first quarter of the fiscal year 2025, with a consolidated total income of ₹70.3 crore compared to ₹144.6 crore in the same period last year. The company reported a substantial consolidated EBITDA loss of ₹45.3 crore, a stark contrast to the ₹4.8 crore profit recorded in Q1 FY24.
The company attributed this decline to various factors, which require a comprehensive analysis to pinpoint the exact causes. However, the considerable drop in revenue and the transition from profitability to a significant loss indicate underlying challenges that need to be addressed.
| Particulars (₹ Crore) | Q1 FY2025 | Q1 FY2024 |
| Total Income | 70.3 | 144.6 |
| EBITDA | -45.3 | 4.8 |
| PBT | -61.6 | -11.0 |
| PAT | -39.7 | -8.2 |
Commenting on the performance, Mr N B Godrej, Chairman, Astec LifeSciences Limited, said: Astec continued to face pricing and demand headwinds in the enterprise products on account of destocking of the inventory across key markets. The challenging external environment necessitated a write-down of inventory, which also significantly impacted the margins of the enterprise portfolio. Also, global logistics issues resulted in a delay in the receipt of essential raw materials for our Contract Manufacturing (CDMO) product, which resulted in a deferral of volumes. This unfortunate situation further compressed overall profit margins.
Astec LifeSciences Limited (Astec) was incorporated in 1994 and is engaged in the manufacturing of agrochemical active ingredients (technical), bulk formulations and intermediate products. Astec has a healthy sales mix of both exports and domestic sales. The company’s exports are to over 17 countries, including the United States and countries across Europe, West Asia, South East Asia, Latin America and Africa
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
Published on: Jul 30, 2024, 6:45 PM IST
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