Key Highlights

Revenues in standalone results were affected due to shut down of high styrene rubber (HSR) plant at Taloja for repairs and maintenance activities and the manufacturing activity of HSR was shifted to Apoctex Solutions (AS) (erstwhile Omnova Solutions).

The company was able to turnaround the business of AS in just 4 months. From a loss making company, AS reported marginal profits in June'16 quarter. As per the management, lot of synergies is yet to come. There is a continuous effort on increase in market share of AS products, increase in reach, betterment of quality, increase in sale of value added products, rationalization of costs, reduction of working capital etc.

Going forward, for Apcotex Industries, there is a good potential in exports markets, while domestic market was more or less at steady state. For AS, there is a tremendous scope to increase the market share in domestic market and also in exports.

Broadly, Latex form around 50% of total sales and the rest came from HSR and NBR product sales.

Paper and Paper boards accounted for 35% of consolidated sales and was more or less steady state. Domestically, construction picked up, carpet sector was lacklustre due to lower exports particularly to Turkey.

Middle East and South East Asia constitute around 75% of total exports for the company while rest from markets like US, EU and Australia.