Phillips Carbon in limelight

Part of the illustrious RP-Sanjiv Goenka Group of Companies, Phillips Carbon Black (PCBL) is the eighth largest carbon black manufacturer in the world and the largest manufacturer and supplier of carbon black in the country. Its main customers come from the tyre industry, power sector, elastomer, plastic, paints and ink manufacturing industries.

With volumes going up almost 1.5 times, the stock price surged to Rs.216, up over 5% and close to its 52-week high of Rs.218.

The market is enthused with the performance of the company for Q1FY17. Driven more on account of lower costs and interest outgo, despite a 10% (YoY) drop in net sales at Rs.478 crore, the company ended the quarter with a 4 times jump up in net profit at Rs.12 crore. Raw material costs were down 20% and total costs came down 13%. Consequently, EBITDA was up 26% at Rs.53 crore while margins improved from 8% to 11%. Interest costs were down 46%.