Meghmani Q1 sales up 11%
Indian company Meghmani Organics’ (Ahmedabad) agrochemical sales went up by 10.9% to Rs 1,340 million ($30.1 million at the current rate) in its first quarter ended June 30th 2011. Domestic sales increased by 8% to Rs 389.2 million ($8.7 million). Exports, making up over 70% of total sales, grew by 12.1% to Rs 950.8 million ($21.4 million). Increased sales of the intermediates, cypermethric acid chloride and trichloroacetyl chloride, led to the export rise. Gross profit, however, took a dive of 38.3% to Rs 148 million ($3.3 million). Pressure on pricing resulted in the gross profit margin dipping from 19.8% to 11%. The company expects the pricing pressure to continue in the coming quarters. Meghmani recorded a 7.2% increase in sales in the last fiscal year to Rs 4,373 million ($98.3 million - Agrow No 617, p 6).