Rossari Biotech: Market share gain in textile chemicals is comforting
In the longer term, what we like about Rossari Biotech is that it's led by technocrats with strong domain knowledge, which in turn has helped in superior execution of capex projects in the past and diversification into new end-markets
January 27, 2021 / 09:52 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
- Traction in cleanliness and hygiene categories
- Signs of market share gains in textile chemicals
- Animal health witnesses dip in demand
- Dahej plant to be fully commissioned by March’21
- Deserves high multiples given growth traction and project execution
Rossari Biotech (Market cap: Rs 4,572 crore, CMP: Rs 880) posted yet another strong topline performance, backed by opportunities in chemicals used for cleanliness.
Further, this largest manufacturer of textile chemicals in India, observed market share gains in the legacy business. However, a drop in the animal health...