Essel’s Q4 PAT up by 16.9%

It registered a revenue growth of 10.4%, with earnings of Rs 69,367-lakhs, in comparison to 62,840-lakhs in Q4 of FY 2018.

This revenue growth was contributed by both Oral and Non-Oral Care segments. The Non-oral care category revenue composition increased by 2.3%  compared to last year from 40.4% to 42.7%.

The 10.4% revenue growth was achieved by the help of a reported growth of 29.3% from the Americas, 16.3% growth from Europe, and an eight percent growth from the East Asia Pacific region.”

The Non-Oral care segment will be Essel’s focus area for the coming years, with new contacts in the Americas, Europe and East Asia Pacific (EAP) regions.

Essel’s region-wise break up for the financial year 2019 comprises of a 21% revenue from the Americas and Europe each; 34% from Africa, Middles East and South Asia Miscellaneous (AMESA) region; 24% from EAP.

Essel’s EBIDTA grew by 13.7% to reach Rs 1,3371 for the quarter and the EBITDA margin improved by 60 bps from 18.7% to 19.3%. Its EBIT margins increased by 12.1% from 11.9% in Q4 FY 2018, and the EBIT grew by 12.6%.

On 22nd April 2019, private equity funds managed by Blackstone entered into an agreement to purchase a 51% stake in the Company.

Blackstone has committed raise up to USD 460-mn to acquire a majority stake in Essel Propack, this transaction will trigger a mandatory open offer for a purchase of an additional 26% shares of the company.