DDev Plastiks Industries Ltd is an India-based company primarily engaged in the manufacturing of plastic compounds. Incorporated in 2020, the company has rapidly established itself as a significant player in the polymer compounds industry, offering a diversified product portfolio. This includes PE compounds, PVC compounds, filled compounds, master batches, footwear compounds, pipe compounds, peroxide compounds, and engineering plastic compounds catering to various sectors like white goods, automotive, and electrical appliances.
The company holds a leadership position as India's largest manufacturer of polymer compounds. As of Q1 FY2024-25, DDev Plastiks boasts an impressive manufacturing capacity of 2,33,400 MTPA (Metric Tons Per Annum). With an annual capacity of 250,000 metric tons for plastic compounds (including PVC and polyethylene), the company serves over 55 countries, highlighting its extensive global reach and manufacturing prowess.
DDev Plastiks Industries Ltd is publicly traded on both the BSE and NSE under the stock symbol DDEVPLSTIK. As of April 30, 2025, the company commands a market capitalization of ₹2,729 crore. The stock has experienced notable volatility, with a 52-week high of ₹458.50 and a 52-week low of ₹197.75, indicating dynamic market interest.
From a valuation perspective, the stock trades at attractive multiples, with a P/E (price-to-earnings) ratio ranging between 14.7 and 14.95, and a book value of ₹80.7. The current dividend yield stands at 0.57%, reflecting the company's commitment to shareholder returns.
The company has consistently demonstrated strong financial performance in recent quarters:
- Q3 FY2024-25 (Quarter ended December 2024):
- Net Profit: Rose 16.30% to ₹46.60 crore, compared to ₹40.07 crore in Q3 FY2023-24.
- Sales: Increased 19.37% to ₹660.75 crore, up from ₹553.54 crore in Q3 FY2023-24.
- Q2 FY2024-25 (Quarter ended September 2024):
- Net Profit: Rose 5.80% to ₹44.72 crore, compared to ₹42.27 crore in Q2 FY2023-24.
- Sales: Declined 9.65% to ₹580.35 crore, down from ₹642.34 crore in Q2 FY2023-24.
DDev Plastiks exhibits robust profitability and efficiency metrics:
- Return on Capital Employed (ROCE): 33.8%
- Return on Equity (ROE): 24.8%
- 3-Year ROE Track Record: 26.7%
These strong returns underscore the company's efficient capital utilization and effective operational management. Furthermore, the company has made significant strides in debt management, having reduced its debt and now operating as an almost debt-free entity. This strong balance sheet position provides substantial financial flexibility for future growth initiatives and mitigates financial risk.
The company's improved financial profile and creditworthiness have been recognized by rating agencies. DDev Plastiks Industries has received an upgrade in credit ratings from CRISIL to CRISIL A+; Stable/ CRISIL A1+.
Committed to shareholder value, the company maintains regular dividend payments. DDev Plastiks Industries fixed September 21, 2024, as the record date for the payment of its dividend, pending approval.
DDev Plastiks Industries Ltd, incorporated in 2020, has its registered office at 2B Pretoria Street, Kolkata, West Bengal, 700071. The company primarily operates within the Chemicals industry. Key management includes Narrindra Suranna as Chairman and Tanvi Goenka as the Company Secretary.
DDev Plastiks Industries presents a compelling investment proposition, underpinned by several key attributes:
- Market Leadership: Positioned as India's largest polymer compounds manufacturer with substantial production capacity, providing a significant competitive advantage.
- Strong Financial Performance: Consistent profitability growth, robust return ratios (ROCE, ROE), and an almost debt-free status make it an attractive investment.
- Diversified Product Portfolio: Serving multiple end-use industries such as automotive, electrical appliances, and white goods, which ensures revenue stability and diverse growth opportunities.
- Creditworthiness: The recent credit rating upgrade from CRISIL reflects the company's robust financial health and improved credit profile.
- Shareholder Value: Regular dividend payments demonstrate management's commitment to strong financial discipline and returning value to shareholders.
With its strategic market position, strong operational metrics, and proactive financial management, DDev Plastiks Industries is well-positioned to capitalize on the increasing demand for plastic compounds within India's expanding manufacturing sector.
