1 min read.Updated: 16 Aug 2021, 03:49 PM ISTLivemint
Laxmi Organic Industries is a specialty chemical manufacturer, focused on two key business segments - Acetyl Intermediates (AI) and Specialty Intermediates (SI)
Shares of specialty chemical manufacturer Laxmi Organic surged more than 15%, hitting a record high on Monday. Laxmi Organic Industries is a specialty chemical manufacturer, focused on two key business segments - Acetyl Intermediates (AI) and Specialty Intermediates (SI). The specialty chemical stock, which got listed in March this year, has rallied over 50% in a month alone.
Laxmi Organic Industries Limited reported a significant jump in its net profit to ₹98.68 crore in the quarter ending June as compared to ₹18 crore in the corresponding quarter of the previous fiscal. Its revenue from operations also witnessed a massive jump to ₹689 crore from 354 crore in the year-ago quarter.
The company is currently among the largest manufacturers of ethyl acetate in India with a market share of approximately 30% of the Indian ethyl acetate market. Laxmi Organic exports about 25% of the manufactured products.
Additionally, it is the only manufacturer of diketene derivatives in India with a market share of approximately 55% of the Indian diketene derivatives market in terms of revenue in FY21 and one of the largest portfolios of diketene products, domestic brokerage Anand Rathi had said in a note on July 26. The company’s geographical presence is enhanced by offices in Netherlands, China and United Arab Emirates.
Laxmi Organics is leading manufacturer of acetyl intermediaries and specialty intermediaries in India. "We believe company’s specialized product offerings, entry in high margin fluoro chemistry segments, scheduled new acquisitions and long term contracts for specialty intermediates to achieve higher growth,'' the brokerage added in the note.
Laxmi Organics Ltd made its debut on the stock exchanges in March 2021. The company's initial public offering (IPO) had garnered a robust response, with the issue subscribed a whopping 107 times. The stock has surged over 200% from its issue price of ₹130.