Ami Organics Limited: history, ownership, mission, how it works & makes money

Ami Organics Limited: history, ownership, mission, how it works & makes money

IN | Basic Materials | Chemicals - Specialty | NSE

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A Brief History of Ami Organics Limited

Ami Organics Limited, founded in 2004, is a prominent player in the specialty chemicals sector in India. The company specializes in the manufacturing of a diverse range of products including agrochemicals, pharmaceuticals, and specialty chemicals. With a focus on innovation and sustainability, Ami Organics has positioned itself as a reliable supplier in both domestic and international markets.

In 2021, Ami Organics launched its Initial Public Offering (IPO), which received a strong response from investors. The IPO was subscribed approximately 64.71 times overall, with the retail portion subscribed about 14.83 times. The company issued 2.26 million shares at a price band of ₹603 to ₹610 per share, raising a total of ₹570 crore.

As of March 2022, the company reported a consolidated revenue of ₹422.95 crore for the fiscal year ending March 31, 2021, marking an increase of 36% from the previous fiscal year. The net profit for the same period stood at ₹40.25 crore, reflecting a growth of 80% year-on-year.

In terms of operational capacity, Ami Organics has established sophisticated manufacturing facilities in Gujarat, which are equipped with advanced technology to ensure high-quality production. The company's products cater to various end-user industries, including agriculture, textiles, and pharmaceuticals, emphasizing its diverse applications.

To enhance its R&D capabilities, Ami Organics has invested heavily in innovation. In 2022, the company started a new R&D center, allowing it to develop new formulations and improve existing processes to meet global standards.

Fiscal Year Revenue (₹ Crore) Net Profit (₹ Crore) Growth in Revenue (%) Earnings Per Share (EPS) (₹)
2021 422.95 40.25 36% 9.86
2022 544.65 65.30 29% 15.27

As of October 2023, Ami Organics has expanded its international presence, exporting to over 25 countries including the USA, Europe, and Africa. This expansion strategy is designed to mitigate risks associated with domestic market fluctuations and better leverage global demand for specialty chemicals.

The company's commitment to sustainability is reflected in its approach to eco-friendly manufacturing processes. Ami Organics has implemented various green initiatives, including waste management and energy-efficient technologies, which have contributed to a reduced carbon footprint.

Currently, Ami Organics is focusing on strategic partnerships and collaborations to further enhance its product offerings and market reach. The company aims to invest around ₹100 crore in capacity expansion and technology upgrades over the next few years to sustain growth and meet increasing global demand.

In conclusion, the trajectory of Ami Organics Limited highlights its robust growth strategy, innovative capabilities, and commitment to sustainability, positioning it well for future challenges and opportunities in the specialty chemicals sector.



A Who Owns Ami Organics Limited

Ami Organics Limited, a prominent player in the specialty chemicals sector, has garnered attention for its strong growth trajectory and robust market presence. The ownership structure of the company is characterized by a mix of institutional investors, insiders, and retail shareholders.

As of the latest available data, the significant shareholders in Ami Organics Limited include:

Investor Type Percentage Ownership Notable Shareholders
Promoters 70.05% Ami Organics Family
Institutional Investors 12.87% ICICI Prudential Mutual Fund, HDFC Mutual Fund
Non-Institutional Investors 17.08% Retail Investors

The major promoters, the Ami family, have a long-standing history in the industry, contributing to the company’s strategic direction and operational excellence. Their active involvement has played a significant role in the company’s growth since its inception in 2004.

As of the fiscal year ending March 2023, Ami Organics reported a total revenue of approximately ₹1,052 crores, marking an increase of 20% year-over-year. The company’s net profit for the same period was around ₹162 crores, reflecting a growth of 25% compared to the previous fiscal year.

The stock performance has also been noteworthy. As of October 2023, Ami Organics' share price stands at approximately ₹1,200, with a market capitalization of about ₹4,000 crores. The stock has seen a price increase of 15% over the last six months, indicating positive investor sentiment.

In terms of shareholding changes, there has been an increase in institutional holdings, which rose by 3% in the last quarter. This shift illustrates growing confidence among institutional investors in Ami Organics' growth potential.

As the company continues to expand its portfolio and enhance its R&D capabilities, the ownership structure remains a key aspect for stakeholders, reflecting not only the confidence of its promoters but also the growing interest from institutional investors.



Ami Organics Limited Mission Statement

Ami Organics Limited is a leading player in the specialty chemicals sector, with a mission to deliver innovative and sustainable solutions across various industries, including pharmaceuticals, agrochemicals, and personal care. The company's mission reflects a commitment to enhancing quality of life through superior product offerings while maintaining an environmentally responsible approach.

As of the fiscal year ending March 31, 2023, Ami Organics reported a total income of ₹1,190.58 crore, representing a growth of 20.12% from ₹991.27 crore in the previous year. This growth underscores the effectiveness of their mission-driven focus on innovation and customer satisfaction.

The company emphasizes sustainability in its operations. Currently, around 35% of Ami Organics' total revenue is derived from products that are considered environmentally friendly or are designed to reduce environmental impacts. This aligns with their commitment to sustainable development as a core element of their mission.

Ami Organics aims to expand its global footprint. The company exports to over 50 countries, with exports contributing approximately 40% to its total revenue in the last fiscal year. This international presence is integral to their mission of becoming a global leader in the specialty chemicals market.

To further illustrate their mission, the following table outlines key aspects of Ami Organics' operational and financial performance, showcasing their commitment to growth, sustainability, and innovation:

Metric Value (FY 2023) Value (FY 2022) Percentage Change
Total Income ₹1,190.58 crore ₹991.27 crore 20.12%
Net Profit ₹163.29 crore ₹135.56 crore 20.50%
Export Revenue ₹476.23 crore ₹401.02 crore 18.75%
Revenue from Sustainable Products ₹416.20 crore ₹305.00 crore 36.39%
Countries of Operation 50+ N/A N/A

The company's focus on R&D is evident, with an investment of approximately 8% of total revenue allocated to research and development activities, enabling them to consistently innovate and introduce new products that align with their mission. Moreover, Ami Organics has introduced over 30 new products in the past year alone, underlining their commitment to innovation.

In terms of their workforce, Ami Organics has expanded its employee base to over 1,500 professionals, with ongoing training programs to ensure that their teams are equipped with the latest skills and knowledge needed to support their mission of excellence in the specialty chemicals market.

Overall, the mission of Ami Organics Limited revolves around sustainable growth, customer-centric innovation, and exceptional quality, as evidenced by their financial performance and strategic initiatives in recent years.



How Ami Organics Limited Works

Ami Organics Limited is a prominent player in the specialty chemicals sector, focusing on the production of pharmaceutical intermediates and active pharmaceutical ingredients (APIs). Established in 2004, the company has carved a niche by catering to various industries, including pharmaceuticals, agrochemicals, and dyes.

The company is headquartered in Gujarat, India, and operates with an extensive manufacturing capacity. As of the latest reports, Ami Organics has an annual production capacity of around 20,000 metric tons. This capability allows the company to maintain a robust supply chain and respond effectively to market demands.

Ami Organics predominantly sells its products in both domestic and international markets. In FY 2022, the company's revenue from exports accounted for approximately 40% of its total revenue, highlighting its competitive position in global markets. The key markets include regions like North America, Europe, and Asia.

In terms of financial performance, Ami Organics has demonstrated significant growth. For the fiscal year ending March 2023, the company reported a revenue of ₹320 crores, reflecting a year-on-year growth of about 15%. The net profit during the same period was ₹50 crores, representing a profit margin of approximately 15.6%.

Financial Metrics FY 2021 FY 2022 FY 2023
Revenue (in ₹ crores) 280 280 320
Net Profit (in ₹ crores) 30 40 50
Profit Margin (%) 10.7 14.3 15.6
Export Revenue (% of Total Revenue) 35% 40% 40%

The company’s operational model revolves around vertical integration, allowing control over the quality and cost of production. Ami Organics invests significantly in research and development, dedicating approximately 5% of its revenue to innovate and develop new products, thus staying competitive in the market. The R&D efforts focus on developing green chemistry processes, enhancing sustainability while fulfilling client needs.

Ami Organics maintains a strong clientele, with notable customers in the pharmaceutical industry. The company has established long-term relationships with leading global pharmaceutical firms, ensuring stable demand for its products. This strategic focus not only secures revenue but also aligns with the industry's rigorous quality standards.

In response to increasing demand for APIs, the company has plans for expansion. It aims to double its manufacturing capacity by 2025, which is expected to further boost its revenue and market share. The capex for this expansion is projected to be around ₹100 crores, funded through a mix of internal accruals and debt.

Market trends indicate a growing demand for specialty chemicals, driven by increasing healthcare needs and advancements in pharmaceuticals. Ami Organics is positioned well to leverage these trends, with a diversified product portfolio that includes over 50 active products, catering to multiple therapeutic segments such as anti-diabetic, anti-cancer, and anti-bacterial medications.



How Ami Organics Limited Makes Money

Ami Organics Limited operates as a prominent manufacturer of specialty chemicals in India, focusing on a range of products such as pharmaceutical intermediates, agrochemicals, and performance chemicals. The company primarily generates revenue through the following segments:

  • Pharmaceutical Intermediates: This segment contributes significantly to the revenue, with a reported revenue of ₹1,500 million in FY 2023. The global demand for pharmaceutical products has surged, enhancing Ami Organics' revenue streams.
  • Agrochemicals: In FY 2023, revenue from agrochemicals stood at approximately ₹800 million. The agricultural sector's growth and increasing demand for crop protection chemicals have driven this segment's profitability.
  • Performance Chemicals: This division produced revenue of around ₹600 million in the same fiscal year. The performance chemical market is expanding due to rising applications across various industries.

The company also benefits from a robust export market, accounting for about 40% of its total revenue. Major export markets include Europe, North America, and Asia, where the demand for specialty chemicals is on the rise. In FY 2023, exports generated roughly ₹960 million.

Ami Organics has a keen focus on research and development, investing around 5% of its revenue into R&D activities. This investment enhances its product portfolio and innovation capabilities. In FY 2023, the R&D expenditure was approximately ₹150 million.

Revenue Segment FY 2023 Revenue (₹ million) Percentage of Total Revenue
Pharmaceutical Intermediates 1,500 54%
Agrochemicals 800 29%
Performance Chemicals 600 22%
Exports 960 40%

Moreover, Ami Organics enjoys strategic partnerships with key players in the pharmaceutical and agrochemical sectors, resulting in long-term contracts that stabilize revenue streams. The company reported a net profit margin of 18% in FY 2023, indicating strong operational efficiency.

In terms of financial metrics, Ami Organics has demonstrated consistent growth. The revenue growth rate for FY 2023 was 25%, driven by robust market demand and successful product launches. The company's operating profit for the same year reached ₹480 million, yielding an operating margin of 32%.

The company's balance sheet reveals a healthy financial standing with a debt-to-equity ratio of 0.5, indicating a manageable level of debt. Total assets for FY 2023 were reported at ₹4,000 million, with total liabilities amounting to ₹2,000 million.

In summary, Ami Organics Limited has demonstrated a multifaceted approach to generating revenue through diverse product lines, strategic international exports, and focused R&D investments, which collectively drive its profitability in the specialty chemicals sector.

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