Sudarshan Chemical gets nod for fresh capex of Rs 126 crore

Sudarshan Chemical Industries’ board has approved the proposal for incurring fresh capital expenditure, amounting to Rs. 126 crores.

This fresh capital expenditure is mainly aimed at increasing production capacities at its facilities at Roha and Mahad. This capex is likely to be funded through the blend of debt.

The company has recently come up with its quarterly numbers ended September 30, 2019. The consolidated revenue for Q2FY20 came in at Rs. 400.27 crores against Rs. 362.79 crores in Q2FY19, registering 10.3 per cent YoY increase. The EBITDA for the quarter in review grew by 35.8 per cent YoY to Rs. 63.04 crores from Rs. 46.43 crores for the same quarter in the last fiscal, with a corresponding margin expansion of 295 bps. EBITDA margin for the quarter stood at 15.7 per cent. The PAT for Q2FY20 came in at Rs. 46.21 crores against Rs. 24.61 crores in Q2FY19, recording a YoY increase of 87.8 per cent.

Sudarshan Chemical Industries is engaged in the manufacture of organic and inorganic pigments, mica-based effect pigments, chemical intermediates and pesticides.

Today, the stock of Sudarshan Chemical Industries jumped by nearly 8 per cent and made an intraday high of Rs. 440 on the BSE.