Ultramarine & Pigments

Annual Report FY2023 Business Update

• Revenue 541 Cr, +10%
• Improved realisation in Pigments and Sulphonation.
• Could have been better. Logistical constraints & supply chain issues affected.
• Export 151 Cr vs 117cr, +29%.

Pigment Division:

• Revenue 159cr, +21% & Volumes -5%.
• Better mix (performance pigments), better realisation.
• Decline in domestic demand in the 3rd quarter.
• Steep increases in input costs, i.e fuel, freight and key raw materials, caused margin pressure
• Exports 102 Cr vs 82 Cr, +26%
• Fresh Capacity under Subsidiary (Ultramarine Specialty Chemicals Limited).

Surfactants Division:

• Revenue 333cr vs 326 Cr
• Exports 16 Cr, +52%
• Ranipet plant full capacity utilisation but the Naidupeta plant witnessed a drop.
• Affected by extreme volatility in RM prices, restricted ability to pass on.
• Situation improved in the 3rd & 4th Quarter. Plans to operate Naidupeta at better utilization.

Wind Power Generation

• Owns and operate 6 Wind Turbine Generators at 3 locations in Tamil Nadu.
• Capacity of 4.3 MW.
• All the units generated are consumed at the Ranipet and Ambattur Plants.
• Generated 61.84 lakh units vs 55.23 lakh units in the previous year
• Two new machines becoming fully operational.
• Captive consumption 49.36 lakh units, + 6.37 lakh units

ITeS Division:

• Revenue 50 Crores,+ 47% over
• Tight cost control measures, profit 15cr, +47%
• Both the key verticals, e-publishing & health care, witnessed growth
• Focus remains on quality to achieve additional business from the existing clients.

Capex

• New plant to manufacture ingredients for food, cosmetics, personal care has been commissioned in Naidupeta.
• Trial production is underway. The installed capacity of this new plant is 1800 MT

Projects through our Subsidiary

• Commissioned the green field project to manufacture Pigments at Naidupeta (AP). Capacity is 1500 MT. 8 months of operation, achieved 70% capacity utilisation. Plant is Capable of producing more volume of premium pigments, margins improvement.

• Another new Pigments Projects at Naidupeta. Capacity of 2250 MT of Pigments. Capital outlay of 80 Crores. Expect some portion of the capacity to come online in FY24.

• Another Project for complex inorganic pigments. Partially completed, balance in the current FY. Total cost of the project is 37 Crores