Styrenix Performance Materials Limited

SPML manufactures various grades of ABS under the brand name ‘ABSOLAC’ and SAN under the brand name ‘ABSOLAN’. It has been a pioneer in this field and continues to remain the market leader in both these product segments in India. The company has also developed and introduced two new brands, ‘STYROLOY’ for blended products and ‘ASALAC’ for Acrylonitrile Styrene Acrylate (ASA), which is expected to further enhance its competitive positioning in the industry. The company also has an established

In FY25, TOI increased by 34% yoy to ₹2,982 crore from ₹2,222 crore in FY24, driven by strong volume growth of 23% yoy and 10% yoy increase in overall realisation. The growth has also been partially supported by acquisition of Styrenix Thailand in January 2025, which contributed increase of ~10% yoy in volume sales. PBILDT margin though stood lower at 11.79% in FY25 against 11.90% in FY24 primarily on account of lower profit margin of the acquired entity vis -à-vis margin at standalone level (12

SPML’s overall borrowings including lease liabilities and acceptances stood at ~ ₹474 crore as on March 31, 2025, compared to ~₹51 crore as on March 31, 2024. The increase in debt levels was primarily considering ~₹194 crore term loan availed for the acquisition of Styrenix Thailand and higher lease liabilities of ~₹191 crore, of Styrenix Thailand. Consequently, capital structure moderated in FY25, with overall gearing increasing to 0.41x as on March 31, 2025 (FY24: 0.07x), while total debt to g

SPML’s liquidity is strong marked by healthy cash accruals against nil term debt repayment obligations in FY26. Scheduled repayments for the debt availed in the subsidiary shall commence from FY27, against which cash accruals are expected to remain adequate. There has been no utilisation of its fund-based limits as on date. With an overall gearing of 0.41x as on March 31, 2025, SPML has sufficient gearing headroom to raise additional debt. Also, the company had liquidity of ~₹98 crore as on Marc

SPML’s profitability remains susceptible to raw material price volatility and product realisations, which directly impact spreads. Styrene and Acrylonitrile, the major raw materials used in manufacturing ABS, SAN, and PS are primarily imported, while 2 CARE Ratings Ltd. Press Release butadiene, another major raw material is sourced domestically. These raw materials are crude oil derivatives and prone to inherent volatility risk in global crude oil prices. In the past, such volatility had impacte

India remains dependent on imports for meeting the domestic demand of ABS, with ~45-50% of the requirement being met through imports in the past few years. Taiwan and South Korea remained the major sources, together accounting for ~87% of ABS imports in FY25, with contributions from Thailand and Saudi Arabia as well. In the domestic market, large ABS capacity of 70KT has commenced commercial operations in September 2025, which could result in an increase in the competitive intensity,

SPML has envisaged a capex of ₹650–700 crore planned over the next three years, aimed at expanding its ABS and PS capacities. The capex is expected to be funded largely through internal accruals and available liquidity, with moderate/need-based reliance on debt. Currently, the company is planning to increase ABS capacity from 100 KTPA to 150 KTPA in first phase, which is scheduled to commence commercial operations by December 2026, while the second phase is expected to follow thereafter. The com