Archean Chemical Industries (ACI) Q4 20/21 earnings summary

Executive summary

• FY21 revenue from operations rose 22.44% YoY to ₹74,076.43 lakh; EBITDA increased to ₹27,625.19 lakh from ₹15,631.45 lakh.

• Net profit after tax was ₹6,658.66 lakh versus a loss of ₹3,565.28 lakh in FY20; basic and diluted EPS was ₹32.24 versus a loss per share of ₹17.26.

Financial highlights

• Total income reached ₹75,478.99 lakh versus ₹61,645.85 lakh; profit before tax was ₹9,047.59 lakh versus a loss of ₹1,735.97 lakh.

• Finance costs increased to ₹13,039.25 lakh from ₹12,175.73 lakh; depreciation and amortisation expense rose to ₹5,538.35 lakh from ₹5,191.69 lakh.

• Operating cash flow was ₹11,909.57 lakh; cash and cash equivalents ended FY21 at ₹3,150.41 lakh versus ₹2,447.95 lakh.

Outlook and guidance

• Management expected moderate, cautious conditions amid COVID-19 and aimed to maintain revenue levels while pursuing sales and profitability improvements.

• Salt volumes were expected to grow in coming years; bromine production and sales were targeted to increase, supported by new domestic and export customers.

• SOP production optimisation through technology-partner discussions aimed to improve conversion ratios.