Cosmo Films reports record Q4FY21 performance
New Delhi-headquartered Cosmo Films, a global leader in films for packaging, labeling, lamination, and synthetic paper and an emerging player in specialty chemicals, polymers, and pet care, declared its financial results for the quarter and year ended March 2021.
During FY21, PAT has more than doubled (110% up from FY20) on the back of higher specialty sales, better operating margins, and uptick performance by subsidiaries. FY21 ROCE and ROE stand at 22% and 30%, respectively, while EPS increased by 115% (vs. PY) to Rs.127 per share. Net debt at Rs 438 crore is close to 1 time to EBITDA.
Results for Q4 are even stronger than the first three quarters of the year, driven by continued specialty films' growth in Indian and overseas operations.
Commenting on the company's performance Pankaj Poddar, chief executive officer, Cosmo Films, said, "Cosmo Films is a name to reckon globally for newer, innovative solutions. The specialty film sales have grown YoY in the last three years. The growth rate in FY21 surpassed 20% despite the base becoming larger each passing year reaffirming the company's growth strategy through continuous investment in R&D, sales and marketing, employee practices, quality, and customer satisfaction. The significant share of specialty films in the overall sales has made a strong foundation for Cosmo and will help the company do well even in the tougher times."
On the expansion front, construction of a specialized BOPET line has started and runs as per plan even with significant Covid related challenges. The internal consumption for masterbatch is growing continuously, and the external sales will begin soon. The company has completed the development of several textile chemical products, each with specific USPs. These are currently under trials with textile manufacturers and processors. The commercial launch would follow in H1FY22. Pet care pilot launch will start in Q2 FY22 under the brand name "Zigly" and will provide a unique value proposition to pet parents across different channels."