Chemical stocks has been in limelight since beginning of April after being out of favour for several months as risk-reward turned favourable. Within the small cap Chemical stocks we remain constructive of Ami Organics as it has generated a breakout above the last 16 month range (₹1110-825) offering fresh entry opportunity
The stock post its quarterly numbers has also generated a breakout above the bullish Flag formation with strong volume of more than six times the 50 days average volume of 0.78 lakhs share per day highlighting larger participation at the breakout area and continuation of the up move
Structurally, it has witnessed a faster retracement of the last falling segment as 28 weeks decline (₹1154-861) was completely retraced in just eight weeks. A faster retracement signal a robust price structure
We expect the stock to head towards ₹ 1290 levels in coming months being the 80% retracement of entire breather (₹ 1418-765)
Pharmaceuticals company Ami Organics announced Q1FY25 results:
Revenue from operations for Q1FY25 grew by 14.9% YoY to Rs 1,767 million
The gross margin for the quarter was at 42.1%.
EBITDA for the quarter came at Rs 295 million down 13.2% YoY compared to Rs 340 million in Q1FY24.
EBITDA margin for the quarter was at 16.7% as compared to 22.1% in Q1FY24. EBITDA margins contracted due to lower gross margins coupled with higher employee expenses led by annual increments as well as new hiring for Ankleshwar plant.
PAT for the quarter was Rs 147 million. PAT margin for the quarter was 8.3%. PAT margins were impacted due to higher finance cost as well as higher depreciation cost.
Commenting on results, Naresh Patel, Executive Chairman & Managing Director, Ami Organics, said: “I am pleased to report that we continue to successfully navigate the challenging industry landscape, achieving strong revenue of ?176 crore, which represents a 14.9% year-over-year growth. This growth was primarily driven by our core pharmaceutical business, while the specialty chemicals segment saw a modest 10% increase.
During the quarter, we also successfully completed the Good Manufacturing Practices (GMP) inspection by the Pharmaceutical and Medical Devices Agency (PMDA), Japan, with no critical or major observations. To our knowledge, we may be the only company in India to have successfully passed both USFDA and PMDA inspections in the advanced pharmaceutical intermediate sector.
Historically, Q1 is always lowest quarter in terms of revenue each financial year since inception, and we typically see sequential growth from Q1 to Q4. I anticipate similar strong sequential growth in the coming quarters. Looking at our current order book, I am confident that we will comfortably meet our 25% growth guidance for the year.”
The Company was initially formed as a partnership firm in the name of "Ami Organics" with effect from 03 January 2004 at Surat, India. The firm converted into a private limited company under the Companies Act, 1956 under the name of "Ami Organics Private Limited" with a certificate of incorporation dated 12 June 2007. Subsequently, the Company was converted into a public limited company, following which the Company`s name was changed to "Ami Organics Limited", and a fresh certificate of incorporation was issued by RoC on 18 April 2018. The company is one of the leading research and development (R&D) driven manufacturers of specialty chemicals with varied end usage, focussed towards the development and manufacturing of advanced pharmaceutical intermediates for regulated and generic active pharmaceutical ingredients (APIs) and New Chemical Entities (NCE) and key starting material for agrochemical and fine chemicals, especially from the recent acquisition of the business of Gujarat Organics Limited (GOL). As per the F&S Report, the company is one of the major manufacturers of Pharma Intermediates for certain key APIs, including Dolutegravir, Trazodone, Entacapone, Nintedanib and Rivaroxaban. The Pharma Intermediates which the company manufacture, find application in certain high-growth therapeutic areas including anti-retroviral, antiinflammatory, anti-psychotic, anti-cancer, anti-Parkinson, anti-depressant and anti-coagulant, commanding significant market share both in India and globally. The company`s Pharma Intermediates used for manufacturing of APIs and NCEs portfolio has expanded from over 425 products as of 31 March 2019, to over 450 products as of 31 March 2021.
During the FY2021, Bonus shares were issued to the existing shareholders of the Company as on the record date of 31.03.2021 by issue of 2,10,00,000 Equity shares of face value of Rs. 10 each.The Bonus shares were allotted in the ratio of 2:1 i.e Two new equity shares for every one existing shares of the company.
As on 31 March 2021,the company has one joint venture company,namely AMI Onco-Theranostics,LLC.
During the month of September 2021,the company came out with an IPO which comprised a fresh issue of Rs 200 crore and an offer for sale of Rs 370 crore by shareholders,mopped up a total of Rs 570 crore through its public issue.The company will utilise the proceeds from fresh issue and pre-IPO placement for repaying debts and meeting working capital requirements.The allotted shares were listed on the BSE Ltd and National Stock Exchange of India(NSE) on 14 September 2021.
The Company was initially formed as a partnership firm in the name of "Ami Organics" with effect from 03 January 2004 at Surat, India. The firm converted into a private limited company under the Companies Act, 1956 under the name of "Ami Organics Private Limited" with a certificate of incorporation dated 12 June 2007. Subsequently, the Company was converted into a public limited company, following which the Company`s name was changed to "Ami Organics Limited", and a fresh certificate of incorporation was issued by RoC on 18 April 2018. The company is one of the leading research and development (R&D) driven manufacturers of specialty chemicals with varied end usage, focussed towards the development and manufacturing of advanced pharmaceutical intermediates for regulated and generic active pharmaceutical ingredients (APIs) and New Chemical Entities (NCE) and key starting material for agrochemical and fine chemicals, especially from the recent acquisition of the business of Gujarat Organics Limited (GOL). As per the F&S Report, the company is one of the major manufacturers of Pharma Intermediates for certain key APIs, including Dolutegravir, Trazodone, Entacapone, Nintedanib and Rivaroxaban. The Pharma Intermediates which the company manufacture, find application in certain high-growth therapeutic areas including anti-retroviral, antiinflammatory, anti-psychotic, anti-cancer, anti-Parkinson, anti-depressant and anti-coagulant, commanding significant market share both in India and globally. The company`s Pharma Intermediates used for manufacturing of APIs and NCEs portfolio has expanded from over 425 products as of 31 March 2019, to over 450 products as of 31 March 2021.
During the FY2021, Bonus shares were issued to the existing shareholders of the Company as on the record date of 31.03.2021 by issue of 2,10,00,000 Equity shares of face value of Rs. 10 each.The Bonus shares were allotted in the ratio of 2:1 i.e Two new equity shares for every one existing shares of the company.
As on 31 March 2021,the company has one joint venture company,namely AMI Onco-Theranostics,LLC.
During the month of September 2021,the company came out with an IPO which comprised a fresh issue of Rs 200 crore and an offer for sale of Rs 370 crore by shareholders,mopped up a total of Rs 570 crore through its public issue.The company will utilise the proceeds from fresh issue and pre-IPO placement for repaying debts and meeting working capital requirements.The allotted shares were listed on the BSE Ltd and National Stock Exchange of India(NSE) on 14 September 2021.
Ami Organics share price as on 11 Sep 2024 is Rs. 1432.1. Over the past 6 months, the Ami Organics share price has increased by 27.84% and in the last one year, it has increased by 6.81%. The 52-week low for Ami Organics share price was Rs. 1004.45 and 52-week high was Rs. 1474.8.
You can buy Ami Organics Ltd shares through a brokerage firm. ICICIdirect is a registered broker through which you can place orders to buy Ami Organics Ltd Share.
Company share prices and volatile and keep changing according to the market conditions. As of Sep 10, 2024 03:52 PM the closing price of Ami Organics Ltd was Rs.1,432.10.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of Sep 10, 2024 03:52 PM, the market cap of Ami Organics Ltd stood at Rs. 5,858.15 Cr.