Galaxy Surfactants Ltd., a surfactants & specialty care ingredients manufacturer based in India announced its results for the second quarter ended September 30, 2021.
Q2 Results- QoQ
The company’s net profit declined 45.4% to Rs 419.4 million for the period ended September 30, 2021 as against net profit of Rs 768.2 million for the previous quarter.
Net sales increased 6.2% to Rs 8.82 billion during the period ended September 30, 2021 as compared to Rs 8.31 billion during the previous quarter.
Q2 Results- YoY
The company’s net profit dropped 48.7% to Rs 419.4 million for the period ended September 30, 2021 as against net loss of Rs 817.4 million for the previous quarter.
Net sales increased 22% to Rs 8.82 billion during the period ended September 30, 2021 as compared to Rs 7.23 billion during the previous quarter.
Half-Year Results- YoY
The company’s net profit declined 14.1 to Rs 1.18 billion for the 6 months period ended September 30, 2021 as against net loss of Rs 1.38 billion for the prior-year 6 months period.
Net sales increased 28.7% to Rs 17.13 billion during the 6 months period ended September 30, 2021 as compared to Rs 13.31 million during the prior-year 6 months period.
Commenting on the performance Mr. U. Shekhar, Managing Director, Galaxy Surfactants Limited said, “This has been a challenging quarter for us. While the demand scenario remains intact and robust, our ability to service the same got seriously impinged in this quarter. While QoQ the volumes have degrown marginally by 2%, YoY, we have registered a decline of 7%.
With the shipping industry facing a major overhaul, freight rates have been hitting the sky, with monthon-month rates rising by nearly 10-40%. This, along with the container unavailability issues led to delays in shipment, as well as increased costs which adversely impacted our Specialty Volumes and overall Margins.
To conclude, we envisage the current supply driven volatility to continue atleast for next 2-3 quarters. While the situation with respect to availability of feedstocks seems to be normalising, we have now entered the inflationary phase, with prices of some of our critical feedstocks rising nearly 50% in last 1 month.
While the demand scenario continues to remain robust, we do hope normalcy gets restored when it comes to the supply side. At Galaxy while the performance might be muted, we remain fully committed to turn this around.”
Galaxy Surfactants Ltd is engaged in the business of manufacture and selling mild surfactants, including sodium cocoyl isethionate, alkyl polyglucoside and sodium lauryl sarcosinate; surfactants, including betaines and lauryl alcohol eithoxylates; rheology modifier, including cocomonoethanolamide and cocodiethanolamide among others.