HSIL closed the year on a solid note, registers growth of 65.5%

HSIL, India’s leading Packaging company, announced its financial results for the fourth quarter and year ending 31 March 2021.

HSIL continues to deliver sequential growth in topline for a third successive quarter in a row. The company reported a total income of Rs 638 crore compared to Rs 468 crore in the same quarter last year, a growth of 36.3% on a year-on-year basis. Both business divisions registered sequential as well as year-on-year growth. The packaging products division reported revenue from operations of Rs 418 crore, contributing 66% to the total revenues with a growth of 31.5% on a year-on-year basis. Building Products Division delivered revenue from operations of Rs 216 crore, registering a growth of 59.7%.

The company delivered an EBITDA of Rs 102 crore, registering a robust growth of 65.5% on a year-on-year basis. EBITDA margins improved from 13.1% in Q4 FY20 to 15.9% in Q4 FY21. Net profit increased significantly to Rs 33 crore compared to Rs 3 crore in the same quarter last year.

The packaging products division witnessed increased demand for glass bottles from multiple user segments, thereby driving better volumes. The EBIT margins improved significantly from 11.2% in Q4 FY20 to 17.9% in Q4 FY21. The margins were driven by better product mix and higher operational efficiencies at the plants resulting in lower fuel and power costs per unit.

Commenting on the quarterly results, Sandip Somany, vice chairman and managing director, HSIL, said, “Despite nation-wide lockdown at the beginning of the year, I am pleased with our Q4 FY2021 performance and have closed an otherwise challenging year on a strong note. The sales and profit growth also reflects the resilience of our business model. We focused on our costs and efficiencies to deliver a robust performance on a quarter-on-quarter basis during the year. The improvement in margins over the last year demonstrates our abilities to work and deliver under uncertain times. We are investing in a greenfield project for specialty glass packaging and increasing our plastic pipes and fittings plant capacity for our future growth. With a clear strategic direction, HSIL is well-positioned to drive profitable growth in the coming years and create value for all stakeholders.”

HSIL Limited is India’s leading packaging products company that manufactures and markets various packaging products, including glass containers and Polyethylene Terephthalate (PET) bottles, products, and security caps, and closures. The packaging products division has six plants in India, located across Telangana, Uttarakhand, and Karnataka. This division has a comprehensive product range, catering to 500+ globally acclaimed institutional clients in India. The company’s Building Products Division primarily comprises sanitaryware, faucets, plastic pipes, and fittings and has five plants spread across Haryana, Rajasthan, and Telangana.