Astral Limited is a plastic pipes manufacturing company. The company has a diversified portfolio from plumbing pipes and fittings to sewerage pipes, agricultural pipes, cable protection and ancillary products. The company also gets some revenues from adhesives business.

77 percent of the company's revenue comes from pipes, while 23 percent comes from adhesives.

The pipes business has been growing for the company and in 9 months of FY22 the company is almost close to FY21 revenues. Margins saw substantial improvement in FY21 at 22.3 percent but then inflation hit the company and in 9 months of FY22 the company has done margins of 20.2 percent.

In 2010, the company acquired 85 percent stake in Advanced Adhesives and in 2015 it acquired Resinova in India and Seal It in UK. The company has been able to grow these businesses and expand their geographical presence as well. However Vinyl Acetate Monomer or VAM is the key raw material for adhesives and its prices have been on an uptrend. From USD 1000 per tonne last year VAM prices have moved to USD 2500 per tonne as of now.

To discuss the road ahead for the company, CNBC-TV18 spoke to Hiranand Savlani, CFO of Astral.

Also on the 'Swotlight' segment watch Nigel D'Souza explain why investors should keep an eye on Nuvoco Vistas.

Watch video for more.