Piramal Glass in Rs 3 b capacity enhancement

Piramal Glass Ceylon PLC has announced its results for the first quarter of F2017 with a revenue of Rs. 1,656 million and Profit After Tax of Rs. 110 million. The total revenue during the first quarter of FY 2017 showed an overall growth of 11%.

The positive momentum achieved in the domestic market during previous year continued this year too with the quarterly growth depicting 9% as against the F16 Q1. Domestic sales in F17 Q1 was Rs 1,318 million as against Rs. 1,207 million in the corresponding period of the previous year.

Exports brought in Rs. 338 million as against Rs. 290 million in the previous year reflecting a growth of 16%. The actual growth potential had to be curtailed to facilitate domestic market requirements. During this quarter the company mainly concentrated on high value niche exports .

During this quarter the company main concentration was towards building stocks in preparation for the forthcoming closure of the factory in Q2 , F17 for capacity enhancement and refurbishment.

The Gross Profit margin was 18%. This decrease was due to the above explained trading scenario and several unforeseen interruptions in the production processes due to the aging furnace. Currently the relining of furnace with an expansion of capacity to 300 MT per day, refurbishment and repair work on downstream facility is in progress. The company is investing Rs 3 billion on the modernization and expansion.