BSE Code : 500057
Co. is among the leading caustic soda producer in the northern and eastern region of the country. Apart from caustic soda it also produces liquid chlorine, hydrochloric acid, sodium hypochlorite, compressed hydrogen, aluminum chloride and bleaching powder. It has also put up its own 30 MW coal based captive power plant due to which its energy costs are lower than its peers. Although it has been reporting excellent performance, but its Dec’09 quarter result were subdued due to annual planned shutdown of power plant taken in the month of Nov´09. Because of that its power cost was high for that particular quarter as it had to purchase it from outside. Apart from that company is doing excellent. Of late there have been reports of improvement in caustic soda prices and it is expected to rise further with no dumping from US facturers and rising international demand. For entire FY10 it is expected to clock a turnover of Rs 225 cr and PAT of Rs 48 cr leading to an EPS of Rs 21 on equity of Rs 23.40 cr. Share price can easily appreciate 50%.
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