Ashish Kacholia Portfolio: Ami Organics reports 27% net profit growth in Q4, EBITDA up 58%, board declares dividend

“We wish to inform you that the Board of Directors of the Company at its meeting held on Saturday, the 13th May, 2023 has recommended a Final Dividend 3/- ( Three only, at the rate of 30%) per equity share of Rs. 10/- each fully paid-up (subject to deduction of tax, if any) on 3,64,37,062 number of equity shares of the Company for the financial year 2022-23, subject to confirmation by the shareholders in the ensuing annual Will happen. General meeting of the company. “The record date / cut off date and book closure date, if any, and the dividend payout date for the final dividend, as above, will be intimated in due course,” Ami Organics said in a stock exchange filing.

During Q4FY23, the company registered revenue from operations of Rs 186.4 crore, up 29.90% YoY 143.50 crore during Q4FY22. The company’s gross profit during the quarter ending March 2023 reached 28.23% increase from 81.3 crores 63.40 crore during the quarter ended March 2022. Amy Organics said that its EBITDA was 40.80 Cr from 58.13% YoY during Q4FY23 25.80 crore was recorded during the year-ago quarter. Amy Organics net profit reached 27.20 Cr during the quarter under review grew by 27.70% YoY 21.30 crore was recorded during the corresponding quarter of FY22.

Commenting on the results, Mr. Naresh Patel, Executive Chairman & Managing Director, Amy Organics Ltd. said: “FY 2023 has been very challenging on all fronts and I am glad that we have been able to post strong growth despite these challenges. Our full year total revenue grew 19% YoY to Rs. 621 crores. This was driven by the Advanced Pharmaceutical Intermediates business, which grew strongly at 22% year-on-year.”

“We have used this challenging year to build on various growth drivers for the years to come. One of the first initiatives was our electrolyte additives which have been approved by six customers and some of them have placed plant scale trial orders. We also expect to receive commercial orders from some customers during the current quarter. The next initiative was to enter into long term exclusive contracts with customers and we have been able to sign some of these contracts with some of our largest customers. The third initiative was to expand the product base for our specialty division with a focus on products with high entry barriers. We have developed an exciting product pipeline here and the products are in various stages of validation and approval. Some of these products are huge and I will update you about these once they reach certain milestones,” said Naresh Patel.

“I am pleased to share the acquisition of 55% stake in Baba Fine Chemicals (BFC), a leading specialty chemicals company supplying products to the semiconductor industry. BFC has very niche products with high entry barriers, and we are excited to work with them and help them ramp-up their products at higher volumes. Overall, I am confident of continuing the strong growth momentum in FY24,” he added.

Amy Organics shares closed on BSE on Friday Up 1.38% from previous close of 1058.40 1043.95. The stock touched a 52-week high 1,152.95 (14/09/2022) and 52-week low 826.00 on (20/06/2022). During Q4FY23, the company recorded promoter shareholding of 39.41%, FII holding of 6.36%, DII holding of 3.63% and public holding of 50.62%. Ace investor, Ashish Kacholia held 7,76,474 shares or 2.13% stake in Amy Organics as of Q4FY23, as per the shareholding pattern.