Oriental Carbon and Chemicals (OCCL) Q4 14/15 earnings summary

Executive summary

• FY15 standalone net sales rose 8% to ₹28,257.35 lakh; PAT increased to ₹5,131.60 lakh from ₹4,043.91 lakh, and the audit opinion was unqualified.

• Consolidated PAT attributable to the holding company was ₹4,829.08 lakh, versus ₹4,048.79 lakh; diluted EPS was ₹46.90 versus ₹39.32.

Financial highlights

• Standalone net revenue from operations was ₹28,257.35 lakh versus ₹26,169.57 lakh; total revenue was ₹29,543.48 lakh versus ₹26,518.57 lakh.

• Standalone EBITDA was ₹8,414.21 lakh versus ₹7,164.05 lakh; PBT rose to ₹6,296.21 lakh from ₹5,015.50 lakh, and PAT to ₹5,131.60 lakh from ₹4,043.91 lakh.

• Standalone basic and diluted EPS increased to ₹49.84 from ₹39.28; net worth was ₹24,354 lakh versus ₹20,275 lakh.

• Consolidated net revenue from operations was ₹34,680.25 lakh versus ₹33,081.96 lakh; PAT attributable to the holding company was ₹4,829.08 lakh versus ₹4,048.79 lakh.

• Standalone operating cash flow was ₹6,996.97 lakh versus ₹5,153.29 lakh; closing cash and cash equivalents rose to ₹1,251.70 lakh from ₹550.12 lakh.

Outlook and guidance

• Both Insoluble Sulphur plants were fully committed; production was expected to reach optimum installed capacity, with Mundra expansion under exploration.

• Global Insoluble Sulphur demand was forecast to grow 3–4% annually; domestic demand was expected to grow at double-digit rates, supported by commercial-vehicle tyre radialisation.

• Growth plans included broadening customer and geographic reach, particularly in China and the US, and potentially adding production lines at Mundra.

• Sulphuric Acid and Oleum prospects remained constrained by commodity pricing and subdued fertilizer demand; weak rains and subsidy conditions were expected to weigh on acid demand.