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News: Navin Fluorine reported top-line growth of 23.6% YoY to ₹491.2 crore, led by decent performance from all segments except HPP. The revenue from CDMO was up by 33% YoY to ₹93 crore, while the same from specialty chemical increased by 30.5 % YoY to ₹230 crore. The revenue from High Performance Project (Inorganic Fluorides & Refrigerants) stood at ₹169 crore (up 11.3% YoY). EBITDA margins for the quarter decreased by 168 bps YoY to 23.3% resulting into EBITDA growth of 15.2% YoY to ₹114.2 crore. The contraction in operational performance is on account of increase in other expenses, mostly power and fuel. PAT was down by 17% YoY to ₹61.5 crore.
Views: Navin fluorine reported Q1FY24 numbers below market expectations largely led by slow growth in HPP segment which was impacted by muted demand for R22 in Q1FY24 combined with shutdowns in AHF and HFO plant. Further strong order flow in speciality segment, supply agreement signed with Fermion in CDMO division and R32 plant commissioning in Q2FY24 we expect high growth momentum to rebound in H2FY24.
Impact: Negative