VAM prices in Q1 were $1,610 per million tonne (mt) compared to $1,200/mt in the last quarter, the firm’s management said in a post earnings conference call. However, it expects margin pressure to peak in Q2 and moderate in the second half of FY22, with VAM prices falling to around $1,500/mt. For a firm battling input cost inflation, easing of raw material prices should come as a relief. Pidilite’s earnings are volatile because of input cost variations with intermittent years of high and low growth, they said. Meanwhile, in the past one year, Pidilite shares have risen 60%, outperforming benchmark index the Nifty50, which gave 46% returns in the same span.

Source: Mint August 15, 2021 19:52 UTC