Q2FY22 Result Update - Margins impacted by higher costs; H2 would see elevated cost pressure - REDUCE
region. EBITDA/t grew at CAGR of 17.8% while volumes grew mere 0.2% due to capacity constraints and focus on nearby markets. Strong prices in the region has attracted meaningful surge in volumes from other regions. Increased supplies due to inflow from other regions and upcoming new capacities would keep margins under check. HEIM expanded capacity by 20% to 6.3mnt through debottlenecking. However, we believe that contraction in margins would considerably neutralize the volume growth. Hence, we expect EBITDA to grow at a CAGR of 3% over FY20-FY23e. Given the tepid outlook...