Haldia Petrochemicals has reported a positive earnings before interest, taxes, depreciation and amortization (EBITDA) of Rs 38 crore for the month of July, first time in the current fiscal, as per Times Of India. HPL managing director Sumantra Chowdhury is hopeful that this may result into banks agreeing to give more funds to HPL. HPL has approached the banks for Rs 600 crore as loan and Rs 400 crore as letters of credit (LCs).
State Bank of India, United Bank of India, Allahabad bank have given Rs 50 crore each to HPL while Union Bank and IDBI Bank has given Rs 25 crore each. After suffering a loss of Rs 400 crore in the April-June quarter of this year when it could produce half of its capacity because of a funds crunch, company MD pointed out that now the production capacity stands at 240 ton per hour (tph) and it could yield into a profit after tax of Rs 64 crore at the end of this fiscal.
The banks provided extra working capital loan to the company to buy more naphtha, the raw material, which eventually helped in increasing production of the company.