Chennai: Cosmo Films Limited, a global leader in films for packaging, labelling & lamination applications and synthetic paper today declared its financial results for the second quarter ended Sep 30, 2017.
During Q2, FY18, sales volume increased by 26% on YoY basis (including production from new BOPP line commissioned in February 2017) and 10% on QoQ basis while speciality sale has grown at 25% on YoY basis and 5% on QoQ basis. This helped the company offset the unfavourable impact of fall in commodity film margins which further aggravated during the quarter and the pressure still persists.
EBITDA during the quarter includes Rs 12 crores on account of re-computation of sales tax exemption benefit post a favourable judgement in the matter.
Commenting on the financial performance of the company Mr. Pankaj Poddar, CEO, Cosmo Films Ltd. said, “The BOPP margins remain under pressure. We continue to focus on growing our specialty film sales and improving internal operational efficiencies, which is visible in our results. These measures will go a long way in insulating us from commodity film margin pressures and building a long-term sustainable growth”.