Stock of this rubber producer company has zoomed 76% in two months


Shares of were locked in 10 per cent upper circuit, hitting a record high of Rs 640.30 on the BSE in Monday’s trade, on expectation of strong earnings.

The stock of products company surpassed its previous high of Rs 630 that it had touched on May 2, 2022. In the past two months, the s tock has zoomed 76 per cent after the company reported a good set of numbers for the quarter ended March 2022 (Q4FY22) .


Apcotex is one of the leading producers of synthetic (NBR & HSR) and synthetic latex (Nitrile, VP latex, XSB & Acrylic latex) in India. Apcotex’s range of latexes is used for paper or paperboard coating, carpet backing, tire cord dipping, construction, gloves-examination, surgical and industrial uses etc.


For Q4FY22, Apcotex reported 36.7 per cent year on year (YoY) jump in profit after tax (PAT) of Rs 30.9 crore, on back of 48.5 per cent YoY growth in operational revenue at Rs 278 crore. Meanwhile, earnings before interest, taxes, depreciation, and amortization (EBITDA) margin improved by 27 basis points at 16.32 per cent from 16.05 per cent in Q4FY21.


“The company has reached historical highs in Q4FY22 across all financial parameters. While the quarterly volumes grew 24 per cent YoY with balanced growth across industries, geographies, and product groups; work on new expansion projects is running on schedule and expected to be completed in Q3FY23,” the company said.

Overall, the company is optimistic about its prospects with all steps taken over the last 2 years. The management believes that the healthy business momentum across product groups will continue into the first half of the new financial year (FY23).

“Sales from the new product range of Nitrile Latex for the gloves industry has picked-up swiftly during the financial year. The company plans to make this product range one of the future growth drivers. The company is building new latex capacities at Taloja and Valia which are scheduled to be commissioned during the financial year. The company will continue to look for opportunities in new adjacent products as well as opportunities for inorganic growth,” the management added.

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