Cosmo Films surged 13.35% to Rs 504.80 after the company's consolidated net profit jumped 73.8% to Rs 62.76 crore on 1.3% decline in net sales to Rs 572.31 crore in Q3 FY21 over Q3 FY20.
Profit before tax in Q3 December 2020 stood at Rs 88.24 crore, up by 70.1% from Rs 51.89 crore in Q3 December 2019. Current tax outgo rose by 15.3% year-on-year (YoY) to Rs 14.94 crore in the third quarter.The company posted highest EBITDA of Rs 112 crores during Q3 FY21 (despite 7% lower volumes) on the back of higher speciality sales (13% YoY), better operating margins from last year and inventory gain of Rs 7 crore due to raw material price increase.
The board has declared interim dividend of Rs 25 per share for FY21 and fixed 8 February 2021 as the record date.
At yesterday's closing price of Rs 445.35, this translates to a dividend yield of 5.6%. The dividend will be paid on or before 26 February 2021.
Commenting on performance of the company Pankaj Poddar, CEO, Cosmo Films, said: "The company has posted highest ever EBITDA during Q3, FY21 despite 7% lower volume (partly due to de-bottlenecking one large production line to enable specialty films production). The company is set to further grow the specialty films production with the same. The company's subsidiary will soon start commercialization of textile chemicals developed through in-house R&D. The company's sustainability drive is helping in reducing various wastages & carbon footprint and also contributing towards cost reduction. Specialized BOPET, Specialized Chemicals and Pet Care projects are progressing as per plan."
Cosmo Films makes speciality films for packaging, lamination, labeling and synthetic paper. The company's film offerings include BOPP (Biaxially Oriented PolyPropylene Films) and CPP (Cast Polypropylene) films.
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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
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