Manali Petrochemicals Limited (MPL) has released its unaudited financial results for the quarter and six months ending September 30, 2024.
The Verdict
In the quarter under review, MPL reported total standalone income of ₹169 crore, down from ₹183 crore in the previous quarter. The company incurred a loss of ₹11 crore for this quarter, contrasting with a profit of ₹2 crore in the previous quarter.
Challenges and Performance
The company faced challenges primarily due to the dumping of imported materials at lower prices and increasing raw material costs.
Despite these losses on a standalone basis, the operational performance of its overseas subsidiaries contributed positively to the consolidated results for the quarter.
Leadership Talk
Chairman Ashwin Muthiah said, “This quarter’s performance reflects ongoing macroeconomic pressures, including rising raw material costs and competition from cheaper imports.”
He noted the positive contributions from overseas subsidiaries that have bolstered the company’s bottom line.
Muthiah emphasized the importance of maintaining cost efficiencies and advancing expansion plans as top priorities for the future.
Managing Director R. Chandrasekar highlighted the difficulties posed by increased import dumping from neighboring countries, which has created challenging market dynamics.
He pointed out that the company’s inability to pass on price increases to customers further impacted performance and margins.
Chandrasekar acknowledged the strong contributions from overseas subsidiaries. He mentioned that this was an indicator of long-term growth potential and would enhance overall performance moving forward.
Brand Value
Chennai based Manali Petrochemicals Limited specializes in the marketing of propylene glycol and polyols.
As a part of the $2+ billion AM International Group headquartered in Singapore, MPL has two wholly-owned subsidiaries: AMCHEM Speciality Chemicals Private Limited in Singapore and Manali Speciality Private Limited in India.
As per the press release, the company has four step-down subsidiaries: Notedome Limited in the UK, Notedome Europe GmbH in Germany, PennWhite Limited in the UK, and PennWhite India Private Limited in India.
