Balaji Amines (530999) Q2 23/24 earnings summary

Executive summary

• Consolidated Q2 FY25 revenue was ₹356 crore, EBITDA ₹70 crore and PAT ₹41 crore; H1 consolidated results declined YoY while standalone H1 EBITDA and PAT increased.

• Expansion plans cover amines, specialty chemicals, solar power and hotel rooms, with growth dependent on project execution, market adoption and demand recovery.

Financial highlights

• Consolidated Q2 FY25 revenue was ₹356 crore vs ₹393 crore in Q1; EBITDA was ₹70 crore vs ₹74 crore and PAT was ₹41 crore vs ₹46 crore.

• Consolidated H1 FY25 revenue was ₹749 crore vs ₹857 crore YoY; EBITDA was ₹144 crore vs ₹164 crore and PAT was ₹87 crore vs ₹104 crore.

• Standalone H1 FY25 revenue was ₹664 crore vs ₹672 crore YoY; EBITDA was ₹128 crore vs ₹109 crore and PAT was ₹81 crore vs ₹67 crore.

• Consolidated Q2 sales volume was 26,348 MT vs 28,071 MT in Q1; H1 volume was 54,419 MT vs 54,433 MT YoY.

• Consolidated Q2 cash PAT was ₹58 crore vs ₹59 crore in Q1; H1 cash PAT was ₹117 crore vs ₹127 crore YoY.

Outlook and guidance

• FY25 standalone volume growth is expected at 10%-12% YoY, following 6%-7% growth in H1; most product prices are expected to normalize by year-end.

• Electronic-grade DMC and pharma-grade propylene glycol additions are expected to commission in FY25; DME commissioning is targeted by year-end or Q1 next FY.

• Next-FY projects include 15 MT/day N-methyl morpholine, 20-21 TPD modified MIPA/DIPA capacity and a 2,500 TPA NBPT plant.

• A 60 MT/day acetonitrile plant is planned at Unit III; technology-transfer discussions were at the final stage, with an agreement potentially due by end-November 2024.

• The initial solar phase is 8 MW DC/6 MW AC, targeted for FY25; 40 hotel rooms are planned for ₹30-35 crore.