LAHORE – The ratings recognize Engro Polymer’s established foothold in the local PVC segment and in caustic soda market. This emanates from efficient production process, sound technological infrastructure, and effective control environment. EPCL is the only manufacturer of Poly Vinyl Chloride (PVC), having dominant market share. The Company has successfully created liking for its products. Lately, it is enjoying strong margins attributed to improved international dynamics along with incremental domestic consumption; boding well with the overall profitability. Although EPCL has limited influence on both price ends (i) Ethylene – key raw material, and (ii) PVC – key product, import and anti-dumping duties benefit. On d emand side, expanding economy – particularly construction – has led to double digit growth; a trend that is expected to persist. On the Caustic Soda front (the other major product), the company enjoys adequate margins and eloquent market share in the southern region, close to plant location. The uptick in profits, in turn free cashflows, has yielded favorably for EPCL’s financial profile.
