Cosmo Films

Cosmo Films is one of the global leaders and manufacturers of BOPP Films. It is the largest exporter of BOPP films from India and largest manufacturer of thermal Lamination films in the world. The films make their way into flexible packaging, labels and lamination industry.  The company ended Q3FY15 in the black; it was touted as a ‘turnaround’ story as it ended the quarter with a net profit of Rs.5 crore v/s loss of Rs.3 crore in Q3FY14. This was mainly on account of the tax write back of Rs.9 crore which helped the red-to-black story because it already had a loss before tax of Rs.4 crore. Its net sales had also slipped during the quarter by 7% (YoY) at Rs.359 crore. It managed to bring down costs by 7% and interest burden lowered by 23%.

Despite this performance, the company is on a sound fundamental footing with its manufacturing plants located in India, Korea, Netherlands and U.S.A. The good news is that all these are now largely fully owned by its wholly owned subsidiaries, with residual stakes being recently acquired from minority shareholders. Promoters stake, as at 31st Dec 2014 stands at 42.84% with FII stake miniscule at 0.02% though DIIs have increased stake from 0.10% in Q2 to 1.09% in Q3.