Cosmo First reports improvement in March 2024 quarter results
Cosmo First declared its financial results for the quarter and financial year ended 31 March 2024 on 15 May.
20 May 2024 | 2600 Views | By Rahul Kumar
The improvement in EBIDTA has been made possible with higher speciality sales as well as an improvement in domestic BOPP film margins (effective March 2024). The industry margins for BOPET film (about 8% of the company’s FY24 sales) continued to remain in the negative zone. For BOPET film, the company is focussed on profitable speciality films / shrink films to achieve EBIDTA breakeven.
The Q1, FY25 outlook for BOPP margins remains steady at March 2024-month level. Further, the company is expecting improved sales of speciality BOPP films as well as a reduction in costs.
During the quarter, the speciality chemical subsidiary’s EBITDA also improved due to enhanced realisation of chemical coatings. The Cosmo Specialty Chemical should deliver double-digit EBITDA and 20%+ ROCE in FY25.
During the quarter, the company’s credit rating has been reaffirmed by CRISIL as AA- with a stable outlook.
The board has recommended a dividend of Rs three per share.
Pankaj Poddar, Group CEO, Cosmo First, said, “The company’s focus remains on its specialty business. It shall be further strengthened with the launch of high value-added sun control film, Cosmo Sunshield, in FY25. In Zigly, we are focussed on the same-store sales growth.”