Conference Call with Tatva Chintan Pharma Chem Management and Analysts on Q2FY25 Performance and Outlook. Listen to the full earnings transcript.
Specialty Chemicals company Tatva Chintan Pharma Chem announced H1FY25 & Q2FY25 results During Q2FY25, the company reported revenue from operations of Rs 835 million, decline by 14% YoY. EBITDA during the quarter was at Rs 56 million, decline by 72% YoY. EBIDTA margins were at 6.7% v/s 20.9% in Q2FY24. During H1FY25, the company reported revenue from operations of Rs 1,890 million, decline by 10% YoY. EBITDA during same period was at Rs 182 million, decline by 56% YoY. EBIDTA margins were at 9.6% v/s 19.7% in H1FY24. Chintan Shah, CMD, Tatva Chintan Pharma Chem, said: "We continue to grow organically by incorporating innovative ideas across operations and increasing our product portfolio across product categories. The specialty chemical industry continues to face challenges across major end-user sectors. These challenges are arising largely from weaker global demand and increased competition from Chinese suppliers. Owing to geopolitical issues the long transit times is also hurting the industry. Among these challenges we also see some positives like ongoing reduction in freight rates, destocking by the customers is nearly ending and bottoming of key raw material prices. We foresee the trend of weaker demand will continue through Q3 as customers are cautious about the inventory levels towards the end of their financial year. We anticipate gradual uptick in demand from Q4 and global demands will improve over the coming quarters. We have a robust pipeline of products across various stages like R&D;, pilot level, plant scale, and those under approval or recently approved. These products are poised to generate additional revenue beyond the company’s current turnover. Despite the current challenges, I continue to remain genuinely optimistic. We have multiple products under commercialisation which will lead to a strong growth. At TATVA CHINTAN, we are confident in our ability to navigate these tough times with resilience, while continuing to nurture and strengthen our relationships with existing customers and also bringing in new products and new customers onboard." Result PDF