Fine Organic Industries (FOIL) overall Q3FY22 performance came slightly above our estimates. The company reported revenue of INR 4,634mn with a 54.8% YoY increase, which was 8.6% above our estimate of INR 4,266mn. The revenue growth was driven by better realization supported by the price increase and strong volume growth. Export volume grew at a better pace with a contribution of 59%. However, domestic sales picked up at slower pace during the quarter due to the Covid19 (3rd wave) led restrictions. The company continued re-negotiating with its customers by accepting incremental business at cost-plus pricing to protect and recover from RM price volatility and higher freight costs. Despite 118bps contraction in the Gross margin, EBITDA margin managed to improve by 145bps to...