I think Ethanol contracts are usually released yearly. New price will be applicable to the existing contracts also. BCL confirmed that new price benefits will reflect in Q4 numbers.
Industry is expecting some softening in RM prices due to new crops, Govt also introducing standard mechanism for procuring maize at reasonable price (slightly higher than MSP), all these developments may improve margins slowly.
My focus is only on ethanol biz, I think improvement in bottom line can be seen without much improvement in the margins due to uptick in ethanol sales (~2000 Cr). BCL is making 15% EBIT margins in ethanol biz, in GPL case we can expect at least 10%, this can translate to at least 100-150Cr bottom line in addition to other segments.
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