A-1 Limited won a ₹38.70 crore order from Solar Group of Industries to supply acids and industrial chemicals through October.

The Ahmedabad based company will execute the order over three months, running from August 1 to October 31 this year.

This is not the first time the two companies have worked together recently. A-1 had already picked up a smaller ₹12 crore order from the same Solar group back in June.

The company has said the transaction is being carried out at arm’s length and does not involve any related party.

The order comes on the back of a strong June quarter for A-1. Consolidated revenue for the period jumped 170.5% year on year to ₹175.01 crore, up from ₹64.69 crore a year earlier.

Profit after tax rose to ₹3.16 crore from just ₹60 lakh, while EBITDA more than tripled to ₹6.07 crore from ₹1.95 crore.

That said, profitability actually slipped a bit compared with the previous quarter. PAT had stood higher at ₹4.36 crore in the March quarter, even though revenue back then was lower at ₹145.27 crore.

Higher costs on purchases, transport and finance ate into margins this time around. Beyond this single order, A-1 has been busy building its order book.

During the June quarter alone, it picked up roughly ₹35 crore worth of business from Solar Industries, Mahadhan Agritech and Sai Baba Polymer Technologies, and it is currently working through a much bigger ₹127.50 crore urea supply contract.

The company is also branching out. It recently raised its stake in A-1 Sureja Industries to 51%, turning it into a subsidiary and giving A-1 a foothold in electric mobility.

Alongside its core chemicals business, the company says it wants to grow further across the industrial chemicals chain while building out this newer clean mobility arm.

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