Asahi Songwon paints a red hue

By Research Desk
about 9 years ago

Asahi Songwon Colors Limited (ASCL) is a Gujarat based manufacturer of pigments and dyes. ASCL manufactures CPC Green, CPC Blue, Beta blue (derivative product of CPC Blue) pigments. The company has its manufacturing plants based at Mehsana and Vadodara.

Its numbers for Q3FY16 were affected due to its Vadodara plant shut down from 3rd Dec to 15th Dec – the plant was shut for annual maintenance. Its topline contracted over 3% (YoY) to Rs.45 crore while EBITDA fell 42% to Rs.5 crore. Margin tumbled down from 13.3% to 11.6%.. It ended the quarter with a net profit of Rs.4 crore, a drop of 20%.

The stock price tumbled down on the back of this poor performance by 8.5% to an intra day low at Rs.141.

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