Aether Industries Ltd (NSE: AETHER), a specialty chemicals manufacturer in India, has reported its Q3FY23 results. The company recorded a total revenue of Rs 1,705 million in Q3FY23, which represents a growth of 16% compared to Q2FY23 and 11% YoY compared to Q3FY22. The EBITDA of Rs 507 million increased by 17% compared to Q2FY23 and by 22% compared to Q3FY22. The PAT of Rs 350 million jumped by 38% compared to Q3FY22 and by 29% compared to Q2FY23. The company’s consolidated net profit rose by 37.94% to Rs 35.04 crore on a 10.48% increase in revenue from operations to Rs 167.13 crore in Q3FY23 compared to Q3FY22.
Profit before tax increased by 29.85% to Rs 43.86 crore in Q3FY22 compared to Q3FY22. The EBITDA grew 21.9% YoY to Rs 50.7 crore in the quarter ended December 31, 2022, with the EBITDA margin improving to 29.7%. Exports accounted for 70% of the company’s total sales, including exports to SEZ and EOU in India and domestic sales accounted for 30% of total sales turnover. Exports outside of India accounted for 31% of the total revenue from operations for the nine months from April 2022 to December 2022.
The company’s CRAMS (contract research and manufacturing services) and contract/exclusive manufacturing business models continued to grow, and the third business model, large scale manufacturing, showed improvement in Q3 FY23 and is projected to grow in the future due to the demand coming back from the global pharmaceutical industry.
Aether Industries recently launched a green-field production site for its new products called “Site 3.” Commercial production is set to begin in the current month, and the company will step-wise start-up production of 5 new advanced pharmaceutical intermediates in this new site. Aman Desai, promoter & whole-time director of Aether Industries, remains optimistic about the company’s future outlook, stating that the company is seeing a significant improvement in demand in the global chemical industry and is upbeat about all its business models.