Industrial machinery firm HLE Glasscoat announced Q3FY23 results: Q3FY23 & 9MFY23: Total revenue of Rs 63,829.0 lakh is up by +56.0% EBITDA of Rs 9,776.9 lakh is up by +25.1% Profit after tax of Rs 4,701.9 lakh is up by +34.4% Q3FY23 revenue from operations growth of 38.4% YoY and PAT growth of 58.3% YoY An order book of approximately 5-6 months for the Indian business and approximately 9 months for the European business Commenting on the Results, Himanshu Patel, Managing Director, said, “The Indian economy continues to be resilient despite the geopolitical uncertainties on account of the Russia-Ukraine war and emerging global recessionary trends. This is also reflected in our business, which saw Q3 revenue from operations grow ~38% and Q3 PAT grow 58%. We continue to see encouraging demand from clients which is also reflected in our robust order book. On the cost side, we are now witnessing stability in the prices of key raw materials and we are monitoring this very closely. This will have a positive impact on our gross margins from the new business in the coming quarters. The company continues to work very closely with the Thaletec team and expects to further capitalize on the synergies going forward. The company continues to strengthen its strategic positioning through constant focus on innovation/R&D; to offer differentiated solutions to its clients.” Result PDF
Industrial Machinery firm HLE Glasscoat announced Q1FY23 Result : Revenue from Operations Rs. 20,442 lakhs up +65% EBITDA Rs. 3,150 lakhs up +27% Profit After Tax Rs. 1,538 up +8% Commenting on the Results, Mr. Himanshu Patel, Managing Director said, “Despite the geo-political uncertainties, the Indian economy continues to consolidate its growth andinvestment activity is gaining traction with higher business confidence. The commodity price fluctuationsand the energy cost increase had briefly threatened to decelerate growth but these threats are nowreceding. The benefits of the acquisition of Thaletec GmbH and its combination with the Indian companyare beginning to reflect and we believe these will also increasingly contribute positively in the comingquarters. The recent increases in manufacturing capacities at Anand, Maroli and Silvassa Plants will alsocontribute to enhanced business growth. In this background, your Company has reported good performance for the Q1 of FY23 with ConsolidatedRevenue growing by 65% and Consolidated EBITDA by 27%. The jump in the revenue was due to higherproduction, increase in demand from end user industries, consolidation of Thaletec and the order book. With some stabilisation being visible in the global commodities markets, we are expecting an improvementin our order book for all the segments. The end user industries are continuing to perform well and theincrease in the Company’s manufacturing capacities will further augment the activity levels in all businesssegments. We continue to focus on adding newer customers from the MSME sector, which has tremendouspotential. We will also continue our thrust on building on the post sales and spares/ component business,which is increasing continually. In order to further boost our internal capabilities, the Company has strengthened its management andexecutive team by making senior level hires in marketing, operations and support functions in recentmonths. Continuing ahead, the Company will sharpen its focus on augmenting and increasing its market share in theFiltration, Drying and Glass Lined Equipment segments in India and abroad, whilst persevering toconcentrate on product and application innovations and improved quality to fulfil unmet customer needs.” Result PDF
HLE Glasscoat declares Q4FY22 result: Revenue from Operations Rs. 249 crores up +69% EBITDA Rs. 40 crores up +37% Profit After Tax Rs. 23 crores up +30% Commenting on the Results, Mr. Himanshu Patel, Managing Director said, “The Indian economy is back on the growth track and investment activity is gaining traction with improvingbusiness confidence and opening-up of the economy after the removal of COVID-19 related restrictions. On the back of this buoyancy, your Company has reported good performance for the FY22 with Revenuegrowing by 35% and EBITDA by 23%. The jump in the revenue was due to increased demand from end userindustries and robust order book for both HLE Glascoat and Thaletec GmbH. The recent geo-politicaldevelopments in Ukraine have created hurdles in the energy and material supply chains and costs and leadtimes are currently volatile. On stabilisation of the global situation, we expect to see an improvement in our order book for all thesegments. The end user industries are continuing to perform well and the increase in the Company’smanufacturing capacities – including recently installed - will further augment the activity levels in allbusiness segments. We believe that MSME as a sector has tremendous potential, and the team is focusedon adding newer customers from this segment. We also plan to expand geographically with a renewedthrust on global markets. In order to further increase our competitiveness, the Company has strengthened its executive team bymaking senior level hires in operations and support functions. Going forward, the Company will focus specifically on augmenting and increasing its market share in theFiltration, Drying and Glass Lined Equipment segments in India and abroad, whilst continuing to focus oninnovations and improved quality to meet customer needs.” Result PDF
Conference Call with HLE Glasscoat Management and Analysts on Q2FY22 Performance and Outlook. Listen to the full earnings transcript.
Highlights: Revenue from Operations was Rs. 248 crores, up by 21% EBITDA Rs. 48 crores, up by 31% Profit After Tax Rs. 27 crores, up by 49% Order Book of approximately 6 months for both filter dryers and glass lined equipment Order book for both the segments continued to remain encouraging reflecting the continued demand from the user industries and the product quality and acceptance The Company has achieved substantially higher production levels during Q2FY22, which augurs very well for the coming quarters Return on Capital Employed (RoCE) and Return on Equity (RoE) remain at over 30% Net Debt to EBITDA stands at 0.1x in September 2021, reduced further from 0.6x in March 2021 Commenting on the Results, Mr. Himanshu Patel, Chairman and Managing Director said, “Your Company has reported good performance for the first half of fiscal year 2022 with Revenue growing by 21% and EBITDA and PAT growing by 29% and 49% respectively. The increased demand from end user industries and strong order book provides ample scope for growth in the coming years. The high production levels, reflected in higher processed inventory, provides the lever for growth potential in the coming quarters. As the economy is recovering and approaching normalcy, we foresee increase in our order book for the filtration, drying and glass lined equipment segments, which continues to be strong at ~6-7 months. The end user industries are performing well, and most of them continue their investments in future growth, which augers well for our Company’s future. We are also taking steps to introduce better technologies to smaller players in the end user industries as this market is rapidly growing. Our focus on customer retention, satisfaction and post sales service support continues. In September 2021, we announced the signing of definitive documents to acquire 100% of the global business of Thaletec GmbH, Germany as well as its subsidiary Thaletec Inc., USA, as a part of our strategy to strengthen our position further in the global markets with innovative technology. The process of acquisition of Thaletec GmbH is progressing well and we expect the acquisition to be completed by end of this quarter. The acquisition will enhance efficiencies and combine the similar business interests for both the entities, resulting in operational synergies, streamlining and optimization of the businesses. Our endeavor is to continually add newer and innovative products to our portfolio, enhance our addressable market and be a preferred vendor for our customers. The Company is continuously exploring new growth opportunities to use the engineering capabilities and to introduce value added products. Our efforts towards achieving operational efficiencies on a sustainable basis are ongoing. The Company continues to have a long-term focus on meeting our customers’ evolving expectations.” Result PDF
Conference Call with HLE Glasscoat Management on the company's recent strategic acquisition. Listen to the full transcript.