Cosmo First Limited today declared its financial results for the quarter ended Sept 2022.
Commissioning of several new production lines in India within a short span coupled with subdued order flow from overseas customers (geo-political crisis, supply chain corrections, and currency fluctuations) led to disruption of the overall demand-supply scenario as well as the margins. Impact on Cosmo was minimal as our strong and growing portfolio of speciality films is least prone to competitive pressures.
Margins were also under pressure in the overseas subsidiaries due to increase in raw material costs, weakening of foreign currencies against the US dollar, particularly in Japan and Korea.
The near-term outlook for non-specialty films could be challenging, and the Company will continue to expand on specialty films growth.
BOPET line was commissioned two days before the end of Q2. Like BOPP, our focus here too would be to rapidly develop value add and speciality products.
Despite the drop in this quarter earnings, our financials remain strong with annualized ROCE and ROE at 25% and 32% respectively.
Commenting on Company’s performance Mr. Pankaj Poddar, Group CEO, Cosmo First Ltd. said “In films business, we have recently developed some unique products which will support specialty sales growth. Our Specialty Chemicals business doubled its revenue YOY. Our Petcare vertical has grown into 6 experience centres at Q2 end and is supported by the online portal and the online app is gaining rapid recognition.”