Laxmi Organics was buzzing in trade on Monday on back of strong Q1FY22 earnings. The stock is up 50 percent in a month and 140 percent from its listing price. The company reported a 379 percent rise in consolidated net profit at Rs 102 crore and 82.4 percent jump in net sales at Rs 736 crore year on year (YoY).

In an interview to CNBC-TV18, Harshvardhan Goenka, ED of Strategy & Business Development at Laxmi Organic Industries said, "We have posted quite good numbers for Q1FY22 but unfortunately in Q2 towards the end of July our plant suffered from a massive flood which affected the entire region of Chiplun and the Raigad belt in Maharashtra. So, one of our speciality chemicals plant has been down for the last 20 days. Therefore we are seeing a muted Q2 on account of the flood."

He expects to retain volumes and market share once the speciality chemicals plant revives.

"Once our factory revives we do see the volumes and market share coming back to normal as we are fairly large leaders in this space," said Goenka.

Revenues are expected to increase as fluorochemicals business comes onstream in Q4FY22.

Also Read: Colours, pigments and dye segments vulnerable to local lockdowns: Harshvardhan Goenka

"When our fluorochemicals business or the third vertical comes alive in Q4FY22 which is another Rs 250-270 crore of investment, you will again start to see revenues climb going forward," he said.

Watch the video for more.

(Edited by : Abhishek Jha)

First Published:Aug 16, 2021 4:05 PM IST