Refex to set up Rs 36 cr refilling plant in TN

Refrigerant manufacturer Refex Refrigerants Ltd will set up an additional refilling plant at Thiruporur in Kanchipuram district of Tamil Nadu on a total investment of Rs 36 crore.

With this expansion, the company expects to increase its refilling capacity from the current 480 tonnes to 3,000 tonnes per annum. The plant is expected to be operational in January 2008.

Chennai-based Refex currently operates a fully automated facility at Thiruporur from where the products are refilled and distributed to major OEMs and trade sectors.

During the second quarter ended September 30, its revenues increased 48 per cent to Rs 23.97 crore, from Rs 16.08 crore in the second quarter of the previous year.

Net profit increased to Rs 3.60 crore in Q2 2008, shooting up more than 320 per cent from Rs 81 lakh in the second quarter of fiscal 2007.

Anil Jain, managing director, Refex Refrigerants Ltd, said the company had been able to effect maximum utilisation of its existing resources during the quarter which resulted in substantial increase in sales and margins. "The appreciating rupee also helped this growth," Jain added.

Third quarter 2007-08 revenues are anticipated to be at least Rs 25 crore. The BSE-listed company is also moving to get listed on the National Stock Exchange.

Refex Refrigerants clocked a turnover of Rs 51.29 crore in 2006-07, with a net profit of Rs 3.91 crore.

The company, which is in the business of refilling and marketing refrigerants, anticipates fiscal 2008 revenues of at least Rs 90 crore, with its total headcount by the end of the year exceeding 100.