Thirumalai Chemicals posts Rs 16.8 crore net profit in Q1 FY13

MUMBAI: India's leading manufacturer of phthalic anhydride Thirumalai Chemicals posted 983% jump in its net profit for June '12 quarter to Rs 16.8 crore, while sales jumped 111% to Rs 301.5 crore.

Thirumalai Chemicals has plant at Ranipet in Tamilnadu to manufacture phthalic anhydride, maleic anhydride and specialty chemicals. It also has a unit in Malaysia making maleic anhydride. The company had suffered in FY12 due to dumping of these commodity chemicals by other Asian countries. A safeguarding duty of 10% imposed in Jan '12 has helped the company. Phthalic Anhydride is a key raw material in paint and plasticiser industry.

Commenting on Q1FY2013 performance, Managing Director of Thirumalai Chemicals Ltd. Mr. R. Parthasarathy said, "A great part of the improved performance is attributable to the changes that we have made in the last one year in our operating structures and processes, in our efficiency improvement programme and in our speedy response to customer needs and the market situation.

The company plans to increase its revenues and profitability significantly over the next few years as it works towards becoming a truly global player in scale and in reach. In pursuit of these goals, the company plans for growth in the speciality chemicals business with greater margins, as well as the streamlining of the commodity chemicals business, so that it operates with higher efficiency. The firm is also working on upgrading logistics and reducing total cost and improving efficiencies all around.