Manaksia Coated Metals & Industries · tone and specificity signals across the available quarters.
Language signals
What's equally important, and we'll come back to this, is that all the new orders in Q1 were priced to fully cover the current cost environment with the margin buffer on top. That shift in pricing has made a significant difference to our unit economics.
The EBITDA per ton where at ₹10,400 per ton is the highest we've ever recorded. It tells us that when business is running normally and pricing is right, the unit economics are very healthy.
The prices for LPG shot up from 60 rupees a kilo up to 200 rupees a kilo and this is the kind of spike that had an impact on margins during Q4. But today's situation is that the prices have cooled down drastically to 80 rupees more or less.
After the implementation of a cold rolling unit, it will give us the required flexibility to reduce the inventory drastically... compressing the working capital cycle to probably in single-digit numbers. It would be a very drastic reduction in working capital.
We were able to restart the line within 35 days...it was a very good achievement by our entire technical team to deliver the first coil with excellent quality where we did not face any losses of trials and yield losses and rejections
Getting entry into highly quality conscious customers in Europe who don't usually give entry very easily...we have been able to now achieve a position where we have relationships with very strong and large European customers and all of them OEMs
India has probably a few advantages such as capacity...the countries like Vietnam or Turkey which are the biggest two competitors have limited capacity to export. So India has good capacities which allow exports in a sizable manner