Piramal Glass' focus on high-margin cosmetics, perfumery packaging to improve profitability

Date: 26 October 2011

Piramal Glass supplies glass packaging products to cosmetics & perfumery, pharmaceuticals and food & beverages industries.

It has manufacturing facilities in Gujarat, India, USA and Sri Lanka and will grow its capacity by another 22% by the end of this fiscal.

FINANCIALS

The Ajay Piramal-owned company was making losses till FY09. But since then, it has shown a steady growth in its earnings. For FY11, net sales were Rs 1,218.5 crore (Rs 1,104 crore in FY10) and the net profit was Rs 103.4 crore (Rs 3 crore). Net sales have more than doubled in the last five years. The company did a rights issue in 2009, to reduce its debt.

The debt to equity ratio was 15.7 then and has come down to 2.4 currently. This reduction in debt helped to reduce the interest outgo. This along with increasing sales from the highmargin cosmetics and perfumery (C&P) segment were the main reasons for the company's turn around.

The C&P segment enjoys an operating margin of 30% against 22% for the pharma and F&B segments. Revenue share of the C&P category has grown from 35% in FY09 to almost 50% in FY11. As a result, the cash flow of the company has improved over the last two years.

Read more on the link below.

600450 Piramal Glass' focus on high-margin cosmetics, perfumery packaging to improve profitability glassonweb.com

See more news about:

Others also read

Fenzi Group has launched Fenzi India, a new sales branch serving the Indian glass industry.
See EnduroShield at ZAK Glass Technology Ι 1-3 December, New Delhi, India Ι Stall GB3
Borosil Renewables Ltd. (BRL) announces acquisition of Interfloat Group, the largest solar glass manufacturer in Europe.
glasspro INDIA 2023 International Exhibition for Flat glass Processing Products and Accessories – will open its shutters from 14-16 September, 2023 Bombay Exhibition Center, Goregaon (East) Mumbai, India.
Glass Futures is holding a workshop to identify sustainability challenges and opportunities in glass manufacturing in the UK and India.
Thanks to the good cooperation with PGP Glass, the entire project was realised within the specified time schedule and the new 250 t/d furnace was successfully put into operation at the end of August 2021.

Add new comment