Borosil (BOROLTD) Q4 22/23 earnings summary

Executive summary

• FY23 consolidated revenue grew 22.3% to ₹1,027.1 crore; PAT rose 6% to ₹90.2 crore, while EBITDA margin before exceptional and one-time items was 13.5%.

• Growth was led by Consumer Products; margin pressure reflected higher input costs, delayed opalware furnace start-up and lower pharmaceutical packaging demand after the Covid-driven surge.

• Expansion, product development, digital initiatives and the planned separation of consumer and scientific operations shaped the year’s priorities.

Financial highlights

• Consolidated revenue from operations was ₹1,027.12 crore versus ₹839.86 crore; PAT was ₹90.21 crore versus ₹85.23 crore, and EPS was ₹7.86 versus ₹7.34.

• Consolidated PBT was ₹118.86 crore versus ₹122.01 crore; FY23 included a ₹9.33 crore insurance claim, while FY22 included ₹11.21 crore of impairment and fire/flood losses.

• Standalone revenue rose 27.6% to ₹957.35 crore and PAT increased 21.5% to ₹94.12 crore; operating PBT was ₹110.48 crore versus ₹109.13 crore.

• FY23 inventory write-downs were ₹2.28 crore standalone and ₹2.74 crore consolidated; advertising and sales promotion spend was ₹63.1 crore consolidated.

Outlook and guidance

• Scientific and Industrial Products is expected to grow 15%–17% YoY over the next three years; LabQuest aims for medium-term growth above 25%.

• Consumer medium-term growth targets: glassware ~20% annually, Larah opalware ~25%, and non-glassware ~20%.

• A 25 TPD borosilicate pressware facility at Jaipur, estimated at ₹75 crore, was expected to start production in Q2 FY24; new opalware capacity supports the growth plan.

• Growth priorities include exports, new products, customer experience, marketing, automation, capacity expansion and supply-chain efficiency.