This Ashish Kacholia-owned chemical stock has zoomed 103% in three months

Shares of Vishnu Chemicals, a pure play manufacturer of high performance specialty chemicals, hit a record high of Rs 1,680.45, up 5 per cent on the BSE in Wednesday’s intra-day trade in an otherwise subdued market. The S&P BSE Sensex was up 0.07 per cent at 58,028 at 10:41 am.

In the past three months, the stock has zoomed 103 per cent after the company reported strong earnings for the quarter and nine months ended December 2021. In comparison, the S&P BSE Sensex was up 1 per cent during the same period.

Investor Ashish Kacholia owned 575,000 equity shares or 4.81 per cent stake in Vishnu Chemicals at the end of December 2021 quarter, the shareholding pattern data shows.

Currently, Vishnu Chemicals is trading under the T group on the BSE. In the T2T segment, each trade has to result in delivery and no intra-day netting of positions is allowed.

For Q3FY22, the company posted highest ever consolidated quarterly performance across all key indicators such as revenues (Rs 299 crore), EBITDA (earnings before interest, taxes, depreciation, and amortization) (Rs 46 crore) and profit after tax (PAT) (Rs 25 crore). The company’s revenue and EBITDA more-than-doubled from its previous year quarter, while PAT zoomed 568 per cent year-on-year (YoY) from Rs 4 crore in Q3FY21.

Consolidated EBITDA margin expanded by 386 basis points YoY to 15 per cent due to improvement in operating environment, better pricing power and therefore, operating leverage.

The company said it has commenced operations at the backward integration project at Visakhapatnam Unit in the ongoing quarter Q4FY22. On the subsidiary front, the expansion of 50 per cent increase in capacity of barium chemicals is on-schedule to commence operations in Q4FY22.

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