Shyam Metalics and Energy Limited 720-820
Expected level 1060
Support 630
Expected level 1060
Support 630
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Fine Organics company details report
Fine Organics Incorporated in 2002, Fine Organics is the manufacturer of oleochemical based additives in India and a renowned player globally. The company produces a wide range of specialty plant derived oleochemical based additives used in the food, plastic, cosmetics, paint, ink, coatings and other specialty application in various industries. Fine Organics is the first company to introduce slip additives in India and is the largest producer of slip additives in the world. Food additives: The company caters to the food industry requirements with its additives such as Emulsifiers, Antifungal additives and other additives/blends. These food additives help maintain food quality, keep food fresh, improved product structural integrity and increase the shelf life of foods like breads, cakes and bakery products, preventing spoilage or hazardous growth of bacteria and yeast and moulds. Overall, the company manufactures a total of 33 food grade additives, and the market for the same is spread across the globe including developed countries. Plastic additives: The company develops a huge range of additives such as dispersing agents, multifunctional processing aids, antistats, melt flow improvers, lubricants, antifogging additives for the applications ranging from polymers, polymer compounds/ masterbatches, foamed products, PVC products and engineering plastics. These plastic additives provide a variety of functionalities: Slip additives that reduce surface friction between plastic film-to-film surfaces and film-to-metal surfaces; antistats help to dissipate static charges to make plastic safer to handle; and anti-fogs that improve visibility through plastic films. Overall, it manufactures a wide range of additive products.
Fine Organics Incorporated in 2002, Fine Organics is the manufacturer of oleochemical based additives in India and a renowned player globally. The company produces a wide range of specialty plant derived oleochemical based additives used in the food, plastic, cosmetics, paint, ink, coatings and other specialty application in various industries. Fine Organics is the first company to introduce slip additives in India and is the largest producer of slip additives in the world. Food additives: The company caters to the food industry requirements with its additives such as Emulsifiers, Antifungal additives and other additives/blends. These food additives help maintain food quality, keep food fresh, improved product structural integrity and increase the shelf life of foods like breads, cakes and bakery products, preventing spoilage or hazardous growth of bacteria and yeast and moulds. Overall, the company manufactures a total of 33 food grade additives, and the market for the same is spread across the globe including developed countries. Plastic additives: The company develops a huge range of additives such as dispersing agents, multifunctional processing aids, antistats, melt flow improvers, lubricants, antifogging additives for the applications ranging from polymers, polymer compounds/ masterbatches, foamed products, PVC products and engineering plastics. These plastic additives provide a variety of functionalities: Slip additives that reduce surface friction between plastic film-to-film surfaces and film-to-metal surfaces; antistats help to dissipate static charges to make plastic safer to handle; and anti-fogs that improve visibility through plastic films. Overall, it manufactures a wide range of additive products.
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The state-of-the-art manufacturing facilities of the company are located at Ambernath, Badlapur, Dombivli and Patalganga with combined capacities of more than 1,00,000 tonnes per annum. It has developed an in-house technology and processes supported by strong Research and Development (R&D), which results in delivering best quality products and new additives and its derivatives, as per the needs of the customers. As on 31st March 2024, the company had a range of 510+ different products sold under the โFine Organicsโ brand. As on 31st March 2024, the company has two subsidiaries, i.e., Fine Organics (USA), Inc. and Fine Organics Europe BV and three joint venture companies, i.e., Fine Zeelandia Private Limited, FineADD Ingredients GmbH and Fine Organic Industries (Thailand) Co., Ltd.
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#SALES #GROWTH
In FY25, the sales grew by 7% YoY to โน2,269 cr. Out of the total sales, domestic sales stood at 43% and export sales stood at 57%. During the year, the exports sales grew by 17% YoY to โน1,293 cr while domestic sales declined by 4% YoY to โน976 cr. The demand in the domestic market remained strong across all its product segment. On the export front, the company witnessed renewed momentum across global markets.
In FY25, the sales grew by 7% YoY to โน2,269 cr. Out of the total sales, domestic sales stood at 43% and export sales stood at 57%. During the year, the exports sales grew by 17% YoY to โน1,293 cr while domestic sales declined by 4% YoY to โน976 cr. The demand in the domestic market remained strong across all its product segment. On the export front, the company witnessed renewed momentum across global markets.
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#EBITDA #GROWTH
In FY25, the EBITDA declined by 4% YoY to โน513 cr. The EBITDA was impacted due to increase in raw material cost on account of sharp rise in prices for certain vegetable oils primarily in the domestic market from Q2 FY25 onwards, increase in freight cost and rise in power & fuel cost due to a rise in perunit charges in other expenses. Generally, the rise in prices of vegetable oils are attributable to many factors such as increase in buying by China, labour issues due to lockdowns in Indonesia and Malaysia, climatical impact on soya producing areas and imposing of import duties on palm oil in India.
In FY25, the EBITDA declined by 4% YoY to โน513 cr. The EBITDA was impacted due to increase in raw material cost on account of sharp rise in prices for certain vegetable oils primarily in the domestic market from Q2 FY25 onwards, increase in freight cost and rise in power & fuel cost due to a rise in perunit charges in other expenses. Generally, the rise in prices of vegetable oils are attributable to many factors such as increase in buying by China, labour issues due to lockdowns in Indonesia and Malaysia, climatical impact on soya producing areas and imposing of import duties on palm oil in India.
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#EBITDA #MARGIN
In FY25, the EBITDA margin contracted by 257 bps YoY to 22.6% due to increase in raw material cost, employee benefit expense and other expenses as a percentage of sales. Raw material cost increased on account of rise in vegetable oil prices. The prices of vegetable oil are determined by global and domestic demand-supply output, other climatic/crop factors, extensive usage in making bio diesel and sustainable aviation fuel and tariff changes implemented by the Indian Government and exporting countries cause price volatility.
In FY25, the EBITDA margin contracted by 257 bps YoY to 22.6% due to increase in raw material cost, employee benefit expense and other expenses as a percentage of sales. Raw material cost increased on account of rise in vegetable oil prices. The prices of vegetable oil are determined by global and domestic demand-supply output, other climatic/crop factors, extensive usage in making bio diesel and sustainable aviation fuel and tariff changes implemented by the Indian Government and exporting countries cause price volatility.
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#ROCE
In FY25, the return on capital employed stood at ~26.5%. New products launch supported by strong R&D capability has helped in improving operating profit and sustaining high return on capital employed of the company over the years. The return ratio was impacted in FY21 on account of raw material price fluctuation. In FY23, the return on capital employed improved on account of higher earning due to better operating margin as compared to previous year and repayment of debt.
In FY25, the return on capital employed stood at ~26.5%. New products launch supported by strong R&D capability has helped in improving operating profit and sustaining high return on capital employed of the company over the years. The return ratio was impacted in FY21 on account of raw material price fluctuation. In FY23, the return on capital employed improved on account of higher earning due to better operating margin as compared to previous year and repayment of debt.
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#ROE
In FY25, the return on equity stood at ~19.5%. This company has healthy and stable return on equity over the years. Going forward, improvement in utilization and better margin with increased share from higher valueadded products would help in improving the return ratios of the company.
In FY25, the return on equity stood at ~19.5%. This company has healthy and stable return on equity over the years. Going forward, improvement in utilization and better margin with increased share from higher valueadded products would help in improving the return ratios of the company.
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#COMPANY #POTENTIAL
โข The global oleochemicals market is valued at $37.88 billion in 2023. In FY24, the market is anticipated at ~$40.37 billion and it is estimated to reach at $65.38 billion in 2030. Oleochemicals finds application in numerous major fields including polymers, pharmaceutical, personal care, soaps & detergents, food & beverages and others. The use of oleochemical in personal care sector is estimated to grow due to its cost-efficiency and rising awareness of natural chemicals. The growing adoption of oleochemicals by chemical manufacturers to produce bio-surfactants, bio-lubricants and bio-polymers as sustainable alternatives to the petrochemicals is a major growth driver. Industry โข Foods โข Plastics Segments: : The global food additives market size is projected to grow from an estimated US$ 141 million in 2024 to US$ 167.88 million by 2029, registering a CAGR of 3.55% during the forecast period (2024-2029). This growth is driven by several factors, including the increasing popularity of functional foods, the growth of the processed food industry, and the rising demand for convenience foods. Additionally, increased awareness of food safety standards and the desire for extended shelf life are contributing to the marketโs upward trajectory. and Packaging: The plastic additives market is undergoing significant growth, driven by various factors such as the expansion of the packaging industry, changing lifestyles, urbanization trends, and increased plastic usage across different sectors. With a forecasted CAGR of 5.3% between 2023 and 2030, the market indicates sustained momentum. Moreover, the Asia-Pacific region dominated the market in 2023, holding a substantial share of 55%. The growth factor mainly include increased demand in the packaging industry as it is used in a variety of industrial and household applications.
โข Additionally, owing to the growing population, rapid urbanisation and rising middle-class incomes, APAC countries are expected to witness robust demand for Plastic additives in Automotive, Electronic & Electrical goods manufacturing and other specialty applications. โข Cosmetics and Pharmaceuticals: The world cosmetics market is anticipated to increase at a CAGR of 5.3% from 2021 to 2027. The growth has been driven by a growing consumer base due to strikingly increased awareness, rising disposable income, the surge in cosmetics manufacturing, expanding urbanisation, rapid adoption of cosmetic products among millennials and increasing ecommerce sales. โข Coating Additives: The global coating additives market is expected to grow at the rate of 5.5% CAGR from 2021 to 2030. The coating additives is anticipated to grow in automotive sector and paint industry.
โข The global oleochemicals market is valued at $37.88 billion in 2023. In FY24, the market is anticipated at ~$40.37 billion and it is estimated to reach at $65.38 billion in 2030. Oleochemicals finds application in numerous major fields including polymers, pharmaceutical, personal care, soaps & detergents, food & beverages and others. The use of oleochemical in personal care sector is estimated to grow due to its cost-efficiency and rising awareness of natural chemicals. The growing adoption of oleochemicals by chemical manufacturers to produce bio-surfactants, bio-lubricants and bio-polymers as sustainable alternatives to the petrochemicals is a major growth driver. Industry โข Foods โข Plastics Segments: : The global food additives market size is projected to grow from an estimated US$ 141 million in 2024 to US$ 167.88 million by 2029, registering a CAGR of 3.55% during the forecast period (2024-2029). This growth is driven by several factors, including the increasing popularity of functional foods, the growth of the processed food industry, and the rising demand for convenience foods. Additionally, increased awareness of food safety standards and the desire for extended shelf life are contributing to the marketโs upward trajectory. and Packaging: The plastic additives market is undergoing significant growth, driven by various factors such as the expansion of the packaging industry, changing lifestyles, urbanization trends, and increased plastic usage across different sectors. With a forecasted CAGR of 5.3% between 2023 and 2030, the market indicates sustained momentum. Moreover, the Asia-Pacific region dominated the market in 2023, holding a substantial share of 55%. The growth factor mainly include increased demand in the packaging industry as it is used in a variety of industrial and household applications.
โข Additionally, owing to the growing population, rapid urbanisation and rising middle-class incomes, APAC countries are expected to witness robust demand for Plastic additives in Automotive, Electronic & Electrical goods manufacturing and other specialty applications. โข Cosmetics and Pharmaceuticals: The world cosmetics market is anticipated to increase at a CAGR of 5.3% from 2021 to 2027. The growth has been driven by a growing consumer base due to strikingly increased awareness, rising disposable income, the surge in cosmetics manufacturing, expanding urbanisation, rapid adoption of cosmetic products among millennials and increasing ecommerce sales. โข Coating Additives: The global coating additives market is expected to grow at the rate of 5.5% CAGR from 2021 to 2030. The coating additives is anticipated to grow in automotive sector and paint industry.
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#COMPANY #OUTLOOK
โข In the food additives business, the company foresees its potential in the overseas market and going forward it is also optimistic about the growth arising from the domestic market. โข In the plastic additives business, it plans to expand its domestic reach. โข The companyโs Thailand joint venture has commenced production trials and is in the process of product standardization. This is a very small plant. Further investment decision would be determined after the performance of the trial production. โข The companyโs manufacturing unit in Badlapur, Maharashtra, resumed operations in Q3 FY25 after being disrupted since 18th January 2024, due to a fire incident at an adjacent plant. โข On 29th October 2024, the company signed a 60-year lease agreement for land at Jawaharlal Nehru Port Authority (JNPA) for its wholly owned subsidiary, Fine Organic Industries (SEZ) Private Limited. Once operational, this facility will manufacture products similar to the companyโs current portfolio, primarily targeting international markets due to its Special Economic Zone (SEZ) status. The company has applied for environmental clearance, which is currently in progress. โข The project is expected to entail a capital expenditure of ~โน750 cr, funded through a combination of debt and internal accruals. The commercial production at this new facility is slated to begin by FY27, strengthening the company's footprint in global markets.
โข In the food additives business, the company foresees its potential in the overseas market and going forward it is also optimistic about the growth arising from the domestic market. โข In the plastic additives business, it plans to expand its domestic reach. โข The companyโs Thailand joint venture has commenced production trials and is in the process of product standardization. This is a very small plant. Further investment decision would be determined after the performance of the trial production. โข The companyโs manufacturing unit in Badlapur, Maharashtra, resumed operations in Q3 FY25 after being disrupted since 18th January 2024, due to a fire incident at an adjacent plant. โข On 29th October 2024, the company signed a 60-year lease agreement for land at Jawaharlal Nehru Port Authority (JNPA) for its wholly owned subsidiary, Fine Organic Industries (SEZ) Private Limited. Once operational, this facility will manufacture products similar to the companyโs current portfolio, primarily targeting international markets due to its Special Economic Zone (SEZ) status. The company has applied for environmental clearance, which is currently in progress. โข The project is expected to entail a capital expenditure of ~โน750 cr, funded through a combination of debt and internal accruals. The commercial production at this new facility is slated to begin by FY27, strengthening the company's footprint in global markets.
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Fine Organic Industries 3700-4160
Expected level 5300
Support 3400
Expected level 5300
Support 3400
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Aarti Industries Limited Company Details Report
Aarti Industries Limited is amongst the most competitive benzene-based, speciality chemical companies in the world. It has a derisked portfolio, i.e., multi-product, multi-geography, multi-customer and multi-industry. Its 100+ products are sold to 700+ domestic and 400+ global customers in 60 countries across the globe, with major presence in USA, Europe and Japan. The company uses feedstock materials such as benzene, toluene, nitric acid, chlorine, methanol, aniline, sulphur etc., along with a wide range of reactions to service leading chemical companies around the globe. Its key value chains include Nitro Chloro Benzenes (NCBs), Di-Chloro Benzenes (DCBs), Phenylenediamines (PDAs), Nitro Toluene Value Chain and Equivalent Sulphuric Acid (E.S.A) & downstream. The companyโs end user industries are agrochemicals, pharmaceuticals, home & personal care, dyes & pigments, polymer, additives and other discretionary. AIL is committed to safety, health and advancing equipment quality with environment policies mapped to global benchmarks, ensuring customer confidence and business sustainability. The company has 11 zero liquid discharge plants and a strong focus on ReduceReuse-Recover across its 16 manufacturing sites. The company has 2 state of the art research and development centres across Maharashtra & Gujarat.
Aarti Industries Limited is amongst the most competitive benzene-based, speciality chemical companies in the world. It has a derisked portfolio, i.e., multi-product, multi-geography, multi-customer and multi-industry. Its 100+ products are sold to 700+ domestic and 400+ global customers in 60 countries across the globe, with major presence in USA, Europe and Japan. The company uses feedstock materials such as benzene, toluene, nitric acid, chlorine, methanol, aniline, sulphur etc., along with a wide range of reactions to service leading chemical companies around the globe. Its key value chains include Nitro Chloro Benzenes (NCBs), Di-Chloro Benzenes (DCBs), Phenylenediamines (PDAs), Nitro Toluene Value Chain and Equivalent Sulphuric Acid (E.S.A) & downstream. The companyโs end user industries are agrochemicals, pharmaceuticals, home & personal care, dyes & pigments, polymer, additives and other discretionary. AIL is committed to safety, health and advancing equipment quality with environment policies mapped to global benchmarks, ensuring customer confidence and business sustainability. The company has 11 zero liquid discharge plants and a strong focus on ReduceReuse-Recover across its 16 manufacturing sites. The company has 2 state of the art research and development centres across Maharashtra & Gujarat.
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