AS Mehta - We are working on new packaging board machine and pulp mill in Gujarat.
AS Mehta, JK Paper Ltd.
The capacity of Sirpur Paper Mills is being refurbished and we expect that it will be used for production purposes by October 2019, said AS Mehta, President, JK Paper, during a candid chat.
The fourth quarter numbers are better than what we achieved in last three quarters because it was achieved despite a 9-day long shutdown, says AS Mehta, President, JK Paper. Mehta said the capacity of the Sirpur Paper Mills is being refurbished and we expect that it will be used for production purposes by October 2019.
Q: How do you see your Q4 results in terms of revenue, EBITDA and margin?
A: I consider the numbers of the fourth quarter, Revenue, EBITDA, PBDT, PBT and net profit, as better than the numbers that we achieved in the last three quarters. This quarter is better for us because it was a quarter we were able to produce beyond targets and improved on the profit as well as margin percentage despite a 9-9.5 day long shutdown.
Q: What is your expectation for volume growth in the next 2 quarters?
A: We always believe that the Indian paper market will grow at the rate of 6-7 per cent and that is why we have always said that our growth rate should be better than the rate at which industry will grow.
Q: How much margins do you intend to maintain for the next few coming quarters, considering it increased well in the previous few quarters?
A: Right now, I can just say that we will try to bring at least a fraction of improvement on the margin percentage that was achieved this fiscal.
But, I would like to say that every industry or sector has a pick margin level, a maintainable level and sustainable level.
2018-19 fiscal has been a good fiscal for the industry and it will be good for the industry if we are able to maintain or better on the number.