Q2 Result review- As companies weather destocking cycle, weak export demand and other challenges, the management commentaries post Q2 as per analysts indicate that destocking cycle may be coming to and end, China dumping may have slowed down and costs structures remain under check. View More

For Specialty Chemical manufacturers the weak demand from developed countries following interest rate hikes, higher exports from China impacting realizations and destocking cycle has had significant impact on earnings during last few quarters. First half performance has remained a mixed bag. The positive however now is that decline and normalization in overall costs and upbeat managements commentaries post Q2 results that keep analysts optimistic on forward prospects during second half in spite of challenges. Also Read- Tata Technologies IPO: GMP remains steady. Price, lot size, other details of upcoming IPO Q2 was a disappointing quarter all across the chemicals segment said Rohit Nagraj at Centrum Institutional Research. Severely impacted by weakness in exports markets coupled with pricing pressure, chemical companies reported their weakest performance in the past several quarters, said Nagraj. China dumping slowed down, however inventory destocking continued in global market impacting the exports performance. if (adFreesubs || adLite) { getGooglePubAds("subs-adfree"); } Specialty Chemicals are weathering the destocking storm as per analysts at Motilal Oswal Financial Services. Alkyl Amines Chemicals Limited, Clean Science and Technology Limited, Deepak Nitrite, Navin Fluorine International Ltd, missed their revenue estimates, while Atul Ltd beat their estimates. On net profit front, Deepak Nitrite, NOCIL Ltd posted a beat, while the rest of their coverage companies missed estimates. The concerns on remain as we move ahead . The outlook for FY24 is anticipated to remain subdued due to ongoing destocking at the customer’s end, compounded by aggressive pricing-driven dumping from China. Additionally, capacity expansion has experienced delays due to the aforementioned factors said analysts at Motilal Oswal Financial Services Ltd. However the positive is that management commentaries have remained encouraging. As per the Gist of Management comments prepared by analysts at Centrum Institutional equities on operating environment- High cost inventories are largely exhausted during the fist half and now the low cost raw material shall start reflecting in financial performance.  China dumping has slowed down, however, volatility due to volatile crude prices still remains, said analysts. Also Read- Tata Steel, JSW, JSPL see healthy earnings pipeline despite pause in price hikes Utilities cost has thus started going up slowly. Both domestic and international logistics costs have been normalized. The destocking in chemicals is now approaching the end and normalised demand shall start in near future, said analysts Thus while the challenges will continue however second half should be better than first half for Specialty Chemcials Sector Post Q2FY24, Galaxy Surfactants and Vinati Organics ltd are amongst the top picks of Motilal Oswal Financial Services.  Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions sor  NAVIN FLUORINE INTERNATIONAL More Information if(!isPremiumStory){ (function(){ let interval; let exchangeCode = 'BSE'; const elementId = "stockwidget-11700452050064-11700452832338-S0003288"; let tickerId = "S0003288"; exchangeCode = "BSE".toLowerCase(); if(exchangeCode == 'nse'){ exchangeCode = 'NSI'; } interval = setInterval(() => { if(typeof getStockwidget === "function" && typeof getWatchListInstance === "function"){ clearInterval(interval); if(tickerId.startsWith("I")){ getIndicesWidgetStory(exchangeCode, tickerId, elementId); }else{ getStockwidget('BSE', tickerId, elementId); } } }, 1000); })();} Milestone Alert!Livemint tops charts as the fastest growing news website in the world ???? Click here to know more. .productListBox-table{margin-top:20px;margin-bottom:15px}.table-responsive{overflow:auto}.table-responsive.story-element table{min-width:100%;margin-top:20px;width:100%}table,td,th,tr{border-collapse:collapse}.table-responsive.story-element table tbody tr:first-child td:first-child,.table-responsive.story-element table tr:first-child td{background:#757575;font-size:14px;color:#fff;border:none;font-family:Lato-Bold;text-align:left;padding:13px 16px}.table-responsive.story-element table tr:first-child td:nth-child(1){border-radius:2px 0 0}.table-responsive.story-element table tr:first-child td:last-child{border-radius:0 2px 0 0}.table-responsive.story-element table tbody{border:1px solid #eee}.table-responsive.story-element table tbody tr td{padding:10px 16px;background:#f9f9f9;color:#212121;line-height:18px;font-size:14px;font-family:Lato-Regular}.table-responsive.story-element table tbody tr td .tblbuynow{color:#00b1cd;font-size:14px;font-family:Lato-Black;text-align:right;text-decoration:none;text-transform:uppercase}.table-responsive.story-element table tbody tr td:first-child,.table-responsive.story-element table tbody tr td:first-child a{color:#212121;line-height:18px;font-size:14px;font-family:Lato-Bold}.tableRowTitle{-webkit-line-clamp:1;-webkit-box-orient:vertical;overflow:hidden;text-overflow:ellipsis;display:-webkit-box}.tableRowTitle a{text-decoration:underline}.table-responsive.story-element table tbody tr:first-child td{color:#fff!important}.productListBox-table tr:hover td,.productListBox-table tr:hover td a,.productListBox-table tr:nth-child(2) td,.productListBox-table tr:nth-child(2) td a,.tdCyan-ever td,.tdCyan-ever td a{color:#00b1cd!important}.table-responsive.story-element table tbody tr td:last-child{white-space:nowrap} .author-widget{border: 2px solid #f99d1c;margin: 20px;padding: 10px;border-radius: 5px;} .author-widget .authorBox2{ width:100%; padding: 0; margin-top:0; margin-bottom:0;background-color: #fff; box-sizing:border-box;} .author-widget .authorImg{ margin-top: 5px;width:62px; height:62px; border:1px solid #f99d1c; float:left; padding:4px; box-sizing:border-box; border-radius:50%;} .author-widget .authorImg img{ width:54px; height:53px; border-radius:50%;} .author-widget .authorDesc{ margin:0 0 0 9px; float:Left; width: calc(100% - 71px);} .author-widget .authorDesc h2{margin:0; padding:0; font-weight:900; color:#000; font-size:16px; font-family: 'Lato Black',sans-serif; margin-bottom:5px; white-space:nowrap; overflow: hidden; text-overflow: ellipsis;} .author-widget .authorDesc h2 a{color:#000;} .author-widget .authorDesc h2::after{display:none;} .author-widget .authorDesc h1 {display: block;float: none;width: 100%;padding: 0;} .author-widget .authorDesc h5{display: block;width: 100%;font-weight:400; color:#757575; font-size:14px; font-family: 'Lato Regular',sans-serif; margin-bottom:5px; white-space:nowrap; overflow: hidden; text-overflow: ellipsis;} .author-widget .authorInfo{border-top: 0;margin-top: 0;padding: 0;font-weight:400; color:#424242; font-size:16px; line-height:22px; font-family: 'Lato Regular',sans-serif;display: -webkit-box;-webkit-line-clamp: 3;-webkit-box-orient: vertical;overflow: hidden;} .author-widget .title {font-weight: 700;color: #757575;padding: 10px;} .author-widget .author-read-more{color: #f99d1c;text-decoration: underline;font-size: 17px;} .author-widget .authorDesc .marZero .fl{color: #000 !important;} @media (max-width: 767px){ .author-widget .authorInfo{ -webkit-line-clamp: 4; } } ABOUT THE AUTHOR Ujjval Jauhari Ujjval Jauhari is a deputy editor at Mint, with over a decade of experience in newspapers and digital news platforms. He is skilled in storytelling, reporting, analysing and writing about stocks, investment ideas, markets, corporates and more. He is based in New Delhi. Read more from this author if(adFree){ document.getElementById("author-widget").style.display="block" }else{ document.getElementById("author-widget").style.display="none" } Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates. More Less Updated: 20 Nov 2023, 10:49 AM IST Topics Indian stock market




Won many

acclamations &

award from reputed

insitution and


Contact Us

Email Us :

Call Us : (0120) 4110117, 4324647, +91-9958632707

Address : D-39, 2nd Floor, Sector-2, Noida, Uttar Pradesh -201301

©  Copyright 2016, All Rights Reseverd With R.K.Associates | Privacy Polices | Disclamer | Sitemap