Capacity expansion and multifold EPS growth from Cosmo Ferrites Q2-FY-21-22 Cosmo Ferrites Limited

26 Oct 2021

 

New Delhi, October 26, 2021: Cosmo Ferrites Limited, a leading manufacturer and exporter of Soft Ferrites and an emerging player in wire wound magnetic components today declared its financial results for the quarter ended September 2021.

During Q2FY22, Company reported net revenue growth of 42% YOY on the back of higher volumes (up by 6%), change in product mix, higher sales realisation resulting from customised solutions to customers. Better global demand leading to higher exports, higher sales realisation and improving internal efficiencies contributed to improvement in EBITDA. PAT for the Quarter improved by 800% YOY and EPS also improved by 842% YOY to Rs. 2.92 per equity share.

Commenting on Company’s performance Mr. Ambrish Jaipuria, Chairman, Cosmo Ferrites Ltd. said “There is strong domestic and export demand from all over the world. Government’s policy of promoting electronics manufacturing and exports from India and the world seeing India as an alternate to China are positives for the Company. The Company’s exports grew 48% vs. last year and product mix also is changing and becoming favourable with growing Soft ferrites demand globally due to growing digitisation, EV growth and focus on renewable energy. This has resulted in better sales realisation improving Company’s margin. Company’s efforts to increase exports were also recently acknowledged by Electronics Industries Association of India (ELCINA) by awarding a certificate of merit to Cosmo Ferrites under the category of SME Exports. Current outlook remains strong and the Company is planning capacity expansion for Soft ferrites manufacturing from 2,400 MT per annum to 3,600 MT per annum next year. The expanded capacity is expected to be operational in Q2 of FY 23 and would further drive revenue growth next year. The Company is also investing R&D infrastructure and increasing R&D resources to further strengthen new product development”.