Agarwal Industrial Corporation Achieves Record Financial Performance in FY23

Agarwal Industrial Corporation Limited , an integrated bitumen logistics company, has reported its highest-ever financial performance for the fiscal year 2023 (FY23), marking significant growth across key metrics.

Financial Highlights

The company's consolidated revenue saw a substantial increase of 26.35% in FY23, reaching INR 2,024.08 crores compared to INR 1,601.99 crores in FY22. This growth was accompanied by strong volume expansion and improved profitability.

Metric	FY23	FY22	Change (%)
Revenue (INR Crores)	2,024.08	1,601.99	26.35
EBITDA (INR Crores)	144.57	109.50	32.03
PAT (INR Crores)	92.25	63.68	44.87
Volume Handled (Metric Tons)	424,000	385,000	10.13

Operational Performance

Agarwal Industrial Corporation demonstrated robust operational growth, handling 424,000 metric tons in FY23, a 10.13% increase from the previous year's 385,000 metric tons. The company operates 200,000 metric tons through its own vessels, which management reports generates 25% EBITDA margins compared to chartered vessels.

Financial Efficiency

The company's financial efficiency has shown notable improvement over the years:

Metric	FY23	FY19
ROCE	22.52%	14.65%
Debt-Equity Ratio	0.34	0.51

Q4 FY23 Performance

For the fourth quarter of FY23, Agarwal Industrial Corporation reported:

Revenue growth of 1.11% to INR 663.18 crores
PAT increase of 19.22% to INR 28.3 crores

Future Outlook

The management has set a target of 10-20% volume growth for FY24, indicating confidence in the company's growth trajectory. The strategy of operating through owned vessels is expected to continue contributing to cost savings and higher EBITDA margins.

As Agarwal Industrial Corporation builds on its record performance in FY23, investors and market watchers may keep an eye on how the company leverages its improved financial position and operational efficiencies to drive future growth in the competitive bitumen logistics sector.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.20%	-3.29%	-8.78%	-11.99%	-19.64%	+915.35%

Agarwal Industrial Corporation Limited (AICL) has clinched a significant contract from Indian Oil Corporation Limited (IOCL), marking a major milestone for the company in the bitumen supply sector. The Mumbai-based firm announced that it has won a tender to supply bulk bitumen to IOCL's Kakinada locations, with the deal valued at approximately ₹330.05 crores.

Contract Details

The contract, which solidifies AICL's position in the bitumen supply chain, is structured as follows:

Category	Quantity (MT)	Value (₹ Crores)
Firm Quantity	60,500	213.56
Optional Quantity	33,000	116.50
Total	93,500	330.05

The firm order comprises approximately 60,500 MT of bitumen to be delivered across 11 parcels, while the optional quantity includes an additional 33,000 MT spread over 6 parcels. This brings the total potential supply to 93,500 MT of bulk bitumen in VG-30 and VG-40 grades.

Strategic Importance

This tender win is particularly noteworthy as it involves supplying to IOCL, one of India's leading public sector undertakings. The contract not only demonstrates AICL's growing presence in the bitumen market but also reinforces its reliability as a supplier to major corporations.

Lalit Agarwal, Whole-time Director of Agarwal Industrial Corporation Limited, expressed enthusiasm about the contract, stating that it "underlines the Company's growing presence and reliability in the bitumen supply chain and further strengthens our long-standing relationship with IOCL."

Execution and Impact

The supplies will be executed in accordance with the terms and conditions specified in the respective tenders. This substantial order is expected to have a positive impact on AICL's revenue and market position in the coming quarters.

For Agarwal Industrial Corporation Limited, securing this high-value contract from a prestigious client like IOCL represents a significant achievement. It not only boosts the company's order book but also enhances its credibility in the industrial supply sector, potentially paving the way for more such contracts in the future.

Investors and stakeholders will likely be keeping a close eye on how this contract contributes to AICL's financial performance and market standing in the upcoming fiscal periods.