OPM rose 890 basis points to 21.8% which saw OP rose 82% to Rs 401.56 crore. Other income was Rs 25 lakh compared to Rs 80 lakh. Interest cost was credit of to Rs 1.24 crore compared to interest expense of Rs 5.65 crore. As depreciation grew 7% to Rs 54.92 crore, PBT rose 112% to Rs 348.13 crore. Tax provision rose 112% to Rs 88.64 crore. PAT rose 112% to Rs 259.49 crore.  

Profit in JV stood at Rs 312.28 crore compared to Rs 76 lakh in Q3FY20. Finally net profit rose 153% to Rs 312.28 crore.  

The overall turnover of value added products increased to Rs. 758 crore during the current quarter as compared to Rs. 568 crore in the corresponding period of previous year achieving growth of 33%. 

The company has cash surplus funds of Rs. 432 crore as on 31st December, 2020 as against net Borrowings of Rs. 217 crore as on 31st March, 2020.

9MFY 2021 consolidated results  

In 9MFY 2021, sales rose 5% to Rs 4272.47 crore. The company sold 297871 tonne of plastic goods during 9MFY21 against sales of 308321 tonne in the previous year achieving volume degrowth of about 3% and product value growth 2% respectively.  

OPM rose 520 basis points to 18.1% which saw OP rose 38% to Rs 774.51 crore. 

Other income fell 55% to Rs 61 lakh and interest cost decreased 43% to Rs 9.04 crore. As depreciation grew 3% to Rs 157.99 crore, PBT rose 54% to Rs 608.09 crore.  

As tax rose 130% to Rs 155.98 crore, PAT rose 39% to Rs 452.11 crore.  

Profit in JV rose 212% to Rs 75.65 crore. Finally net profit rose 51% to Rs 527.76 crore.

Business situation has become normal in all the segments where company is operating. The company achieved a volume and value growth of 10% and 30% respectively in the 3rd quarter. 

The Company's value added business has grown to Rs. 758 crore as compared to Rs. 568 crore in comparable quarter of the previous year. The increase in volume sale supported by increase in the business of value added products have improved operating margin to 21.53% compared to 16.11% of the previous year in the same quarter. The OPM has also improved significantly due to inventory gain on account of rapid price increase of PVC resin to the extent of around Rs. 80 crore in the quarter. 

The Crop situation in the country is normal, which has boosted the rural income. The Rabi crop sowing has also been done in a larger area than the previous year. Company enjoyed good demand for its products from rural market and Tier III and Tier IV cities. 

In the current quarter, the demand also got a fillip from the Housing market. Several Policy initiatives have facilitated brisk sale of ready to occupy housing units. Demand for Company's housing products has revived in Metro cities. 

The demand for Furniture and Material handling products were higher compared to previous year. With a better offtake of consumer durables, the Company enjoyed good demand for its' industrial components business. 

The Company's Packaging segment working was affected due to increase in its raw material prices which could be passed over with a time lag, which may happen in the current quarter. 

Company has also introduced economy model of Tarpaulin also in Cross Laminated film segment having lower value addition. However, the overall demand for Cross Laminated film products for the year is expected at a higher level which may boost business to 21,000 MT in the year compared to 17,000 MT in the previous year. 

Protective packaging division in this segment has also fared better as demand has come from Construction, Consumer appliances, yoga mats and other segments. 

Plastic raw material prices remain at an elevated level. PVC resin prices have gone up by Rs. 23/- per kg in the quarter with an increase of 25% in its prices. The PVC prices remain even now at the elevated level. At the increased prices, there is a demand resistance from agricultural segment. It is expected that the resin prices may start softening by March. 

The Company's CAPEX plan is going smoothly. Along with carried forward investment commitment of Rs. 182 crore, the company has made a plan to invest around Rs. 400 crore in this year. The said investment is made mostly in its existing plants where additional construction activities are going on at Seven sites. Company is also now putting up new plants at three locations. Land for these plants have been already acquired at Orissa & Tamil Nadu. In Assam, the plant is being constructed on a lease agreement basis. Company aims to put all these new plants in production in the year 2021-22. 

The stock trades at Rs 1731.