In Q1FY23, West Coast reported a rise in profit and income which is backed by good operational performance. Segment-wise, the packaging paper segment has performed exceptionally well.
October 6, 2022
West Coast Paper Mills Ltd. has been exhibiting a strong and healthy growth outlook with strong earnings in the month of August – as per news reports.. As per its stock market performance, the paper manufacturer’s stock price has more than doubled and soared by 137 percent.
The rise in profit is backed by strong operational performance. On a sequential basis, the net profit of West Coast Paper grew by 49 percent. The paper manufacturer, which offers a diversified range of products, has recently increased its presence across the writing & printing segment, security and high-value grade paper, creating a niche for the company.
Among its segments, the packaging segment has registered a surge in demand that’s driven by e-commerce, food service, FMCG, and the pharmaceutical sector. Notably, the demand is further expected to grow by 11-15 percent on a year-on-year basis in the current FY. Additionally, the new education policy is also likely to boost the demand for segments like creamwove and maplitho paper grades.
In 2019, WCPM acquired a majority stake of 72.2 percent in Andhra Paper Ltd. (APL), making the former the fifth-largest paper manufacturer in India, with an integrated production capacity of 568,000 metric tonne per annum (MTPA).