Page 18 - Glass Machinery Plants & Accessories no. 3/2017

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PIRAMAL GLASS borrowings has increased
the company’s debt-to-
FINANCIAL PERFORMANCE equity ratio to 50:50 from
40:60. But the adverse
million with and 2019. impact from it on overall
Piramal having Currently Piramal stock valuations has been
to import half operates at 90% capacity somewhat mitigated by
of its demand after the 20% capacity the rise in risk free rate
from its parent enhancement. and LPG prices.
company in The EBIT margin is Debt is cheaper than
The recent capacity India, Piramal projected to stay at 10.2% equity until it reaches an
enhancement and the Glass Limited. levels during 2017 and optimal level.
commissioning of the dual Meanwhile, during 3Q17 2018 before rising to India’s Piramal Glass
the company completed 10.9% due to the upward Limited held 56.45% stake
furnace firing at Piramal
its dual furnace firing trend forecasted in fuel, in the company while the
Glass Ceylon PLC
appears to be having a – furnace oil and LPG which constitutes 25% of state-controlled private
limited positive impact on – aimed at containing total energy cost. sector pension fund,
the company’s immediate the energy costs, the Further, Bartleet Religare Employees’ Provident
financial performance company’s biggest expects the doubling Fund held 9.51% stake
as profits and margins challenge. of finance costs due being the second largest
are projected to remain For the nine months to the INR 3.0 billion shareholder.
flat though the medium- ended 31 December borrowings made for Norges Bank, the Central
term outlook is expected 2016, the company capital expenditure to Bank of Norway, held
to remain positive, an reported earnings of INR result in a flat bottom line 2.68% stake being the
equity research on the 275.1 million, against in 2018. third largest shareholder
company’s stock said. INR 452.1 million during This rise in long-term of Piramal Ceylon.
According to the research the corresponding period
arm of the stock broking of the last year.
firm, Bartleet Religare The gross profit margin
Securities (Private) and Earnings Before GLASS SERVICE
Limited, who has given a Interest and Tax (EBIT)
“buy” recommendation margins also improved 14TH INTERNATIONAL
on Piramal stock, the to 26.9% and 16.9%,
positives expected from respectively, attributable SEMINAR ON
enhanced capacity and to the dual furnace firing.
cost savings from dual Bartleet, in its three-year FURNACE DESIGN
furnace firing could be forecast projected a net
off-set by the rising fuel profit of INR 446 million
prices and the doubling for 2017, which will only Registration
of the finance cost due to go up to INR 449 million for the Glass
higher borrowings. in 2018 before rising Service 14th
Piramal, Sri Lanka’s sole to INR 589 million in International
manufacturer of moulded 2019, mainly driven by Seminar
glass containers for food the top-line growth and on Furnace
and beverage products, increasing margins due Design to
pharmaceuticals, to added capacity as the be held 21- for the event and view the
cosmetics and perfumes company will not have to 22 June 2017 in Velke preliminary programme of
closed its Horana factory outsource to cater to the Karlovice of the Czech lectures online at seminar.
during 2Q17 for two rising demand. Republic is ongoing. The gsl.cz. Papers will be
months to increase its The top line is projected seminar targets advanced given by glassmakers and
capacity by 20%. at INR 7.7 billion in technologies for the institutes such as Corning,
This impacted the 2017, INR 9.7 billion in glass industry such as Charles University
company’s financial 2018 and INR 10.5 billion mathematical simulation Prague, Johns Manville,
performance as its 1H17 in 2018 with a capacity of furnaces and advanced Praxair, Saint-Gobain,
profit after tax fell by utilization of 85% and control using models. Schneider Electric and
almost 75% to INR 73.1 88%, respectively, in 2018 Attendees can register Sisecam.

glass machinery plants & accessories 3/2017
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