Extremely high depreciation due to capex and finance cost.
While calculating Cfo:- both Depreciation and finance cost get waxed back.
If there is a good amount of difference between cfo and pat (120-130%+). It also points to operating leverage being present in the business…
Given chem cos are going through a hard time- only in better times the gross block can be utilised.
Disclaimer:- no holdings. Tracking like a hawk.
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