Vinati Organics Ltd share Price Today

Vinati Organics is a leading manufacturer of specialty chemical and organic intermediaries with global market leadership in its two key products- two- Acrylamido two Methylpropane Sulphonic Acid (ATBS) and Isobutyl Benzene (IBB). Starting with IBB and subsequent forays into IB, ATBS, Butyl phenols, the company is now moving towards antioxidants.

• The company has two manufacturing facilities at Mahad and Lote
• In terms of revenue contribution, ATBS constitutes ~40-50% of overall revenue followed by IBB of 20-30% while the rest is from other segments such as IB, Butyl phenols and derivatives

Numbers were marginally below our estimates on the revenue front while it was above our estimates on the EBITDA and PAT front, driven by softening in raw material prices.

• Reported revenue growth of 37.9% YoY to ₹ 508.7 crore, led by demand pickup in Iso Butyl Benzene (IBB) and stable demand from ATBS and Isobutylene (IB)
• Gross margins increased 270 bps YoY and 662 QoQ to 51.6% while EBITDA margin grew 705 bps YoY and 598 bps to 32.2%. Absolute EBITDA was up 77% YoY to ₹ 163.8 crore
• PAT increased 51% YoY to ₹ 125.4 crore