India Glycols up over 12%

India Glycols is doing very well on the bourses today. The stock is up over 12% at Rs.111 with an intra day high of Rs.114.30 and low of Rs.107.10. Volumes are very good at over 2.5 lakh shares being traded today morning as against two week average volume of 28,000 trades.

The company manufactures green technology based bulk, specialty and performance chemicals and natural gums, spirits, industrial gases, sugar and nutraceuticals. Using the molasses-ethyl alcohol-ethylene 'green route', the company is the only one of its kind in the world.

Despite lower sales, higher realisations, lower costs, lower interest outgo helped the company end Q1Fy16 with a net profit of Rs.8 crore v/s Rs.1 crore in previous Q1 and a loss of Rs.3 crore in Q4. Net sales for the quarter was down 3% (YoY) at Rs.699 crore. Total costs came down 8%. EBITDA for the quarter was up 63% and margin rose from 6.38% v/s 10.73%.

The good thing about the rise in bottomline is that it has come despite Rs.9.45 crore exceptional expense due to reinstatement of forex borrowings. Tax out go for the quarter was at Rs.3.5 crore due to deferred tax v/s Rs.64 lakh in previous Q1.  Interest outgo has come down from Rs.44 crore to Rs.38 crore (YoY).