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Earnings Call Transcript

Jyoti Resins & Adhesives Earnings Call Transcript: Key Takeaways

Management is navigating volatile raw material costs by implementing price hikes to restore EBITDA margins to the 22-25% range while executing a significant brownfield capacity expansion.

Guidance and delivery
Management target Revenue 17.0% FY29
Highlights
Revenue growth17% YoY growth driven by 10% volume and 7% pricing.
MarginsRestoring to 23-25% levels after Q1 dip caused by VAM spike.
Demand visibilityStrong demand from housing, furniture manufacturing, and interior renovations.
Management confidenceConfident but cautious regarding global uncertainty and raw material volatility.

Growth

Revenue grew 17% YoY, primarily volume-led (10%) with 7% from price increases; capacity utilization hit 70%.

Outlook

Brownfield expansion to 3,500 TPM launches next month; aims for ₹500 Cr revenue by FY29.

Risks

Sharp spikes in crude-linked raw materials (VAM) and delayed inventory management impacted Q1 margins significantly.

Last quarter's promises, checked

Delivered

  • Guided 27% EBITDA margin → delivered 27% (= BEAT)
  • Guided 15-20% revenue growth → delivered 18% (= BEAT)
  • Guided 15-20% volume growth → delivered 16% (= BEAT)

Partly delivered

  • Guided 2.5L registered carpenters → delivered 2.0L (= PARTIAL)
  • Guided brownfield expansion to 3,500 TPM → 80% complete (= PARTIAL)

Missed

  • Guided 120 debtor days → delivered 150-160 days (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: JYOTIRES. Summary written with AI assistance from the document.

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Jyoti Resins & Adhesives Ltd: key numbers

Share price
₹844.60
Market cap
₹1,014 Cr
Revenue (annual)
₹314.7 Cr
Net profit (annual)
₹69.98 Cr
P/E (TTM)
15.8×Sector 37.5×
Promoter holding
54.37%+0.00% QoQ
FII holding
0.06%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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