HIL Ltd. sets the tone for the financial year with 53% improvement in year-on-year revenues
National, August 12 2019: HIL Limited, one of Asia’s leading building material solutions company, today announced the financial results for the quarter ending June 30, 2019. Part of the USD 2.5 billion CK Birla Group, the company sets the tone for the financial year with 53% improvement in year-on-year revenues at Rs.768 crore in Q1 FY’20 from Rs.501 crore in Q1 FY’19. Though roofing solution business experienced tough market conditions this quarter compared to the same period last year, it continues to make progress in a market that has been facing some impediments in the last quarter due to 2 months long staggered national election which has impacted rural demand significantly. Growth in the building solutions and polymer solutions stood at 4% and 23% respectively, both year-on-year. The commissioning of augmented capacity in pipe and fittings is shaping up well.
Business performance highlights:
EBITDA stood at Rs.100 crore as compared to Rs.89 crore for the same quarter last year, marked by a growth of 13% year-on-year
Profit before tax stood at Rs.67 crore on account of tough market conditions and additional interest cost on borrowings towards acquistion of Parador
The financial integration of Parador is completed and the company is focusing on accessing the operating strengths of the company on the global stage
Mr. Dhirup Roy Choudhary, Managing Director, HIL Limited said, “Though the rural economy was down due to general elections, the on-ground situation is normalizing steadily and we have seen some uptrends in terms of volume growth. Despite tough market conditions in the roofing business, we enjoy customer loyalty and continue to be the market leader for yet another quarter. Charminar Fortune, which is our non-asbestos solution also continues to perform well in the institutional segment and we are encouraged by the response to the product in the market. Durign the quarter, we have compelted the financial integration of Parador and introduced Parador’s product in India last month. We are geared to hold a leadership position in the marketplace and target promotions with our distribution setup. We took several steps to improve the efficiencies of operating processes focus on cost and productivities across the enterprise to minimize the impact of external factors. I strongly believe that these practices will continue to drive HIL’s growth as the company enjoys a strong presence in the industry and is capable of taking a leading role in a dynamic market.”