Sales up 25% but profit stuck around ₹101 Cr, with OPM slipping from 20.5% to 18.8%, shows how raw material costs and a higher tax rate can eat a growth quarter. Do you expect the new plants to restore margins, or does pricing power with big consumer brands stay limited?
pricing power held, they recovered the entire cost hit this quarter, currency too. it's passed on at no extra margin so the % dips on bigger sales, like for like it's 19.6%
thailand hits depreciation first, margin recovery leans on europe and the lag with a few customers clearing
Sales up 25% but profit stuck around ₹101 Cr, with OPM slipping from 20.5% to 18.8%, shows how raw material costs and a higher tax rate can eat a growth quarter. Do you expect the new plants to restore margins, or does pricing power with big consumer brands stay limited?
pricing power held, they recovered the entire cost hit this quarter, currency too. it's passed on at no extra margin so the % dips on bigger sales, like for like it's 19.6%
thailand hits depreciation first, margin recovery leans on europe and the lag with a few customers clearing
Thanks, Roshan. Good to know pricing power held and that the like-for-like margin is 19.6%, a much better picture than the headline.