India’s DCM Shriram Reports 33.4% Growth in YoY Q2FY21 Net Profit

DCM Shriram Ltd., a chlor-alkali and chloro-vinyl manufacturer based in India announced its results for the second quarter ended September 30, 2021.

Q2 Results- QoQ
The company’s net profit grew 0.2% to Rs 157.87 crores ($21 million) for the period ended September 30, 2021 as against net profit of Rs 157.5 crores ($21 million) for the previous quarter.

Net sales increased 8.6% to Rs 2198.61 crores ($292.9 million) during the period ended September 30, 2021 as compared to Rs 2025.11 crores ($269.8 million) during the previous quarter.

Q2 Results- YoY
The company’s net profit grew 33.4% to Rs 157.87 crores ($21 million) for the period ended September 30, 2021 as against net profit of Rs 118.37 crores ($15.8 million) for the prior-year quarter.

Net sales increased 6.5% to Rs 2198.61 crores ($292.9 million) during the period ended September 30, 2021 as com-pared to Rs 2064.61 crores ($275.1 million) during the prior-year quarter.

Half-Year Results- YoY
The company’s net profit grew 67.3% to Rs 315.37 crores ($42 million) for the 6 months period ended September 30, 2021 as against net profit of Rs 188.47 crores ($25.1 million) for the prior-year 6 months period.

Net sales increased 5.5% to Rs 4223.72 crores ($562.7 million) during the 6 months period ended Sep-tem-ber 30, 2021 as compared to Rs 4003.05 crores ($533.3 million) during the prior-year 6 months pe-riod.

In a joint statement, Mr. Ajay Shriram, Chairman & Senior Managing Director, and Mr. Vikram Shriram, Vice Chairman & Managing Director, said: “We are glad to report a good overall performance during the quarter. The businesses environment remains disruptive despite relative normalization of Covid-19 during the quarter, given the global supply chain constraints led by climate induced factors, geo-political reasons and Covid-19.

Our Chloro-vinyl businesses have performed better given the improved demand as well as price sce-nario. However, with global increase in energy prices as well as other key inputs, the cost pressures are high. There is significant uncertainty on inputs costs although we are having adequate supplies to en-sure continuity of operations. We expect that higher product prices will support the increase in costs.”

DCM Shriram Ltd is engaged in the business of manufacture and selling Caustic Soda, Chlorine, Calcium Carbide, Aluminium Chloride, PVC Resins, PVC Compounds.