AGI Greenpac registers a good growth for Q2FY23

One of the leading packaging companies in India, AGI Greenpac recently announced its financial results for the second quarter ending September 30, 2022. The company reported that the revenue from operations stood at Rs 1034 crore, registering a growth of 72% on a year-on-year basis. 

“AGI Greenpac continues to deliver strong performance despite rising inflation, energy cost and currency fluctuations owing to our agile business model, improved operational efficiencies and strong connection with our customers,” Sandip Somany, vice-chairman and managing director, AGI Greenpac, said. 

He added that they expect the demand for their packaging products to grow despite a challenging macro-economic scenario. “Going forward, we will continue to focus on improving product mix, manufacturing high-end and value-added products with high margins. We remain confident in our ability to consistently deliver while growing sustainably across products and business segments,” he added.

In its earnings statement, the company reported revenue from operations of Rs 513-crore for Q2FY23, compared to Rs 309-crore in Q2FY22, registering a stellar growth of 66% on a year-on-year basis. The sales and profitability improved on a year-on-year basis on account of improved efficiencies.

The company generated EBITDA of Rs 87-crore, representing a 17% increase year-on-year. The operating EBITDA stood at Rs 180-crore and registered a growth of 35% on a year-on-year basis. 

The company continued to maintain strong EBITDA margins despite a sharp increase in input prices, rising inflation and an increase in global interest rates. The company’s net profit stood at Rs 34-crore, registering a growth of 9% with margins of 7%.  

Additionally, AGI Greenpac’s Q2FY22 includes a one-time receipt of an insurance claim amounting to Rs 16-crore, which was nil in Q2FY23. Further, the currency fluctuation incurred a foreign exchange loss of Rs 6-crore in Q2 FY23 compared to a gain of Rs 0.2-crore in Q2 FY22. The company also noted that when the impact of the one-time receipt of insurance claim and foreign exchange loss is neutralised, the adjusted EBITDA is Rs 93-crore, registering a growth of 59% on a year-on-year basis with a margin of 18%.