Stylam has entered into Plywood manufacturing and is going to set up a state of art manufacturing facility for making high quality products. For this, they are setting up and scaling new verticals and setting up a wholly owned subsidiary Stylam Panels Limited with an authorized capital of INR 2 crores by which the Company envisages its entry into the premium plywood segment in addition to the mass consumption market and the industrial commercial segment. Strengthen domestic presence with a deeper reach and penetration and creation of a strong brand they are expanding coverage across newer export regions along with increasing business with existing partners.
Despite the COVID backdrop, the company sales for the quarter were INR 172 crore registering a strong growth of 50% YoY and 31% QoQ. The export sales were INR 104 crore (23% YoY and 13% QoQ). Their domestic sales witnessed strong growth at INR 68 crore (126% YoY and 74% QoQ) due to the strong opening of markets post second wave and surge in housing demand, says the statement given by the company.
The industry has witnessed massive adverse movement in raw materials, significantly impacting margins. This can be attributed to the supply chain constraints witnessed world over. To exacerbate the situation, due to the ongoing container crisis, logistics and freight costs have skyrocketed,” states the statement.