Apcotex Inds

Apcotex Industries is a Taloja (Maharashtra) based company is a leading producer of Performance Emulsion Polymers in India, which is used for tyre cords, Paper/Board Coating, Carpet Backing, Construction (Concrete Modification, Water Proofing, etc.), Paints, Textile Finishing and Automotive Components. The company was earlier established as a division of Asian Paints and then in 1991, it was spun-off as a separate company.

On the financial front, the company had a good Q3FY15. On a 18% (YoY) rise in net sales at Rs.84 crore, the company posted a 200% jump in net profit at Rs.6 crore. EBITDA was up 57% at Rs.11 crore while margins rose from 9.86% to 11.90%. Though operating costs, led by rising raw material and employee cost was up 15%, this was offset by a 19% drop in interest cost. Tax outgo though was up over 200%. The company’s net profit for 9MFY15 at Rs.19 crore has already surpassed FY14 net profit of Rs.13 crore. Equity is pretty small at Rs.5.22 crore (face value Rs.5/share) and it is sitting on a huge reserves of Rs.80 crore.