Chemplast Sanmar Ltd. has reduced its consolidated net loss for the quarter ending December 31, 2024, to ₹49 crore, down from ₹89 crore during the same period last year. The company’s revenue for the first nine months of FY25 reached ₹3,195 crore, reflecting an 11% year-on-year growth. The improvement in performance was largely driven by better pricing and margins in the PVC sector, alongside strong results from its Custom Manufactured Chemicals Division (CMCD), according to Managing Director Ramkumar Shankar.
The Chennai-based company reported a 19% increase in revenue for Q3, reaching ₹1,058 crore, up from ₹888 crore in Q3 FY24. It also achieved an EBITDA of ₹32 crore, reversing the ₹7 crore EBITDA loss reported during the same quarter last year.
Chemplast has faced several challenges in recent years, including the dumping of Suspension and Paste PVC, which hurt margins. However, the company has seen a recovery in FY25 compared to the previous year. While pricing pressures from imported Suspension PVC from China and Paste PVC from the European Union affected margins, domestic demand remained robust. From April to December 2024, Suspension PVC consumption grew by 11%, while Paste PVC demand increased by 13%.
The CMCD continued to perform steadily in Q3 FY25. The value-added chemicals segment, which includes products like Caustic Soda, Chloromethanes, and Hydrogen Peroxide, experienced mixed demand across industries. However, it saw a 5% volume increase in Q3 and a 24% growth over the first nine months of FY25, driven by steady demand from various sectors.
The Suspension PVC industry saw strong growth, especially in the housing, construction, irrigation, and drinking water sectors. The company is optimistic about future demand, particularly with the Union Budget’s recent extension of the Jal Jeevan Mission until 2028, which is expected to further boost Suspension PVC consumption.
Chemplast Sanmar Ltd., a key part of the SHL Chemicals Group and The Sanmar Group—one of South India’s leading corporate conglomerates—is a prominent manufacturer of specialty chemicals. The company produces Specialty Paste PVC resin and custom-manufactured chemicals used in the agrochemical, pharmaceutical, and fine chemicals industries. Chemplast also manufactures essential chemicals like Caustic Soda, Chloromethane products, Hydrogen Peroxide, and Refrigerant gas.
As one of India’s most integrated chemical plants, Chemplast operates with a closed manufacturing loop to ensure efficiency and sustainability. Through its subsidiary, Chemplast Cuddalore Vinyls Limited, the company also manufactures Suspension PVC. Chemplast is the largest producer of Specialty Paste PVC Resin in India and the second-largest producer of Suspension PVC.
