Other Income increased 217% to Rs 75 lakh crore in Q3FY21 from Rs 24 lakh in Q3FY20 and interest cost was up 73% to Rs 57 lakh while depreciation fell 42% to Rs 4.11 crore. As a result PBT was up 12% to Rs 15.64 crore.

Tax provision rose 62% to Rs 4.26 crore leading a flat PAT to Rs 11.38 crore..

For 9MFY'21 Net Sales of the company was down 15% to Rs 405.66 crore compared to corresponding previous year while bottomline decreased 22% to Rs 25.23 crore. OPM rose 40 bps to 12.1% leading a 13% decrease in operating profits to Rs 49.26 crore. Other income increased 95% to Rs 2.06 crore while interest cost was up 678% to Rs 2.54 crore and depreciation was down 8% to Rs 12.01 crore. PBT as a result fell 17% to Rs 36.78 crore.

Tax provision fell 15% to Rs 10.1 crore leading a 22% decrease in PAT to Rs 25.23 crore.

Commenting on the performance, Shri S. N. Kabra, Chairman & Managing Director said, "The sales for the third quarter were 107 % of the previous third quarter sales. During Oct-Dec quarter Colour, White and Black masterbatches sales were highest ever in the history of Company.

The unorganized segment which constitute significant portion of Masterbatch industry has got badly hit due to COVID pandemic and it will be further impacted by tightening of GST regulations and recent introduction of E – Invoicing .

We as a market leader in organized segment since last 5 decades will be major beneficiary going forward as India's economy is showing decisive signs of a 'V-shaped' recovery with the return of consumer confidence, all time high GST collection, robust financial markets etc. In India we saw faster-than-expected pace of recovery in October-December quarter as the pandemic situation did not substantially deteriorate during the festive season . In the near term, there are reasons for optimism. With vaccination programme being rolled out the accruals of the economic benefits would be significant in time to come . Further, we expect union budget to be major catalyst which is expected to focus on demand enhancing measures. All these measures will lead to growth in GDP very significantly.

In a span of less than three years there is a reduction of approx. Rs. 100 crore in borrowings of the company.

As of 31st Dec, 2020 the term loan of Rs. 912.50 Lacs is outstanding which will be paid on or before 9th Feb, 2021 as per terms and conditions of the loan. Meanwhile Short term surplus of Rs. 1175 Lacs is deployed in various safer instrument.

Handful of manufacturing companies gave salary increment to their employees during this critical phase of economic slowdown which is further compounded by woes of COVID Pandemic. It is with great pride we inform that Company gave increment to its employees during this period. The company gave 100% of Salary during lockdown period to all its employees. In Dec, 2020, under medical insurance, Company took "Home Care Treatment Plan" for COVID-19 for its employees. We treat all our employees as part of our family.

In past several years, we had adapted to technological advancement in timely manner and done digitization which will help us tremendously going forward.

The scrip is currently trading around Rs 258 on the BSE