Bhansali Engineering Polymers Ltd (BEPL), a leading manufacturer of specialized engineering thermoplastics, has reported a decline in its financial performance for the first quarter ended June 30. Despite the downturn, the company has declared an interim dividend and announced plans for capacity expansion.

Financial Performance

BEPL's consolidated financial results for Q1 show a decrease across key metrics:

The company's revenue from operations decreased by 9.45% year-over-year to ₹307.91 crore, compared to ₹340.06 crore in the same quarter last year. Net profit declined by 13.98% to ₹45.89 crore from ₹53.35 crore in Q1 FY2024-25.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) fell by 14.61% to ₹52.60 crore, with the EBITDA margin contracting by 103 basis points to 17.08% from 18.11% in the corresponding quarter of the previous year.

Interim Dividend

Despite the challenging quarter, BEPL's Board of Directors has declared an interim dividend of ₹1 per equity share (100%) for the financial year 2025-26. The record date for the dividend is set as August 20, with the payment to be made on or before August 29.

Capacity Expansion

In a strategic move, the company has approved a project to enhance its ABS (Acrylonitrile Butadiene Styrene) production capacity from 75,000 TPA to 100,000 TPA. This expansion will take place at BEPL's existing plants in Abu Road, Rajasthan, and Satnoor, Madhya Pradesh. The project, estimated to cost ₹200 crore, is scheduled for completion by September 2026.

Annual General Meeting

BEPL has scheduled its 41st Annual General Meeting (AGM) for September 20, at 11:00 AM at the Walchand Hirachand Hall in Mumbai. The company has fixed the closure of the Register of Members and Share Transfer Books from September 13 to September 20 (both days inclusive) for the AGM and payment of the final dividend for FY2024-25.

The financial results and corporate actions reflect BEPL's efforts to navigate through a challenging business environment while maintaining shareholder returns and investing in future growth. The capacity expansion project, in particular, signals the company's confidence in long-term market demand for its specialized engineering thermoplastics.

Bhansali Engineering Polymers Ltd (BEPL), a leading manufacturer of specialized engineering thermoplastics, has announced its financial results for the fourth quarter and full year ended March 31, 2025. The company reported a mixed bag of results, with increased revenue but a slight dip in profitability.

Q4 Financial Highlights

Full Year FY 2024-25 Performance

For the full fiscal year 2024-25, BEPL reported:

Dividend Declaration

The Board of Directors has recommended a final dividend of ₹1 per equity share (100%) for FY 2024-25, subject to shareholders' approval at the upcoming Annual General Meeting. This is in addition to the three interim dividends of ₹1 each declared earlier in the fiscal year, bringing the total dividend for FY 2024-25 to ₹4 per equity share (400%).

Management Commentary

Jayesh B. Bhansali, Joint Managing Director and CFO of Bhansali Engineering Polymers, commented on the results: "Despite challenging market conditions, we have managed to grow our revenue and maintain profitability. The slight dip in quarterly profits is primarily due to increased raw material costs and market pressures. However, our full-year performance demonstrates the resilience of our business model and the growing demand for our specialized products."

Financial Position

As of March 31, 2025, BEPL reported:

• A strong balance sheet with total assets of ₹1,10,215.92 crore.
• Healthy liquidity with cash and cash equivalents of ₹34,814.14 crore.
• A robust equity position of ₹1,00,047.01 crore.

Future Outlook

While the company hasn't provided specific guidance for the upcoming fiscal year, the management remains optimistic about the long-term prospects of the specialized engineering thermoplastics market. BEPL continues to focus on innovation, operational efficiency, and expanding its market presence to drive sustainable growth.

Investors and analysts will be keenly watching how BEPL navigates the challenges of raw material price fluctuations and market dynamics in the coming quarters. The company's ability to maintain its margins and capitalize on the growing demand for engineering thermoplastics will be crucial for its future performance.