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Archroma, a global leader in sustainable specialty chemicals, has achieved a major milestone by expanding its reach to 93 markets worldwide, reports WealthPK.

Archroma operates across North Asia, South Asia, North America and Mexico, South and Central America, and Europe, along with the Middle East and Africa. This broad geographical reach allows the company to serve a wide range of industries, including textiles, packaging, paper, coatings, adhesives and sealants. Archroma’s textile division stands out as a leader, providing cutting-edge technologies that improve colour vibrancy and sustainability in apparel and home textiles.

The company creates innovative solutions to meet the growing demand for environmentally friendly products from everyday wear to specialised fabrics for healthcare and automotive industries. Archroma Textiles is a global provider of dyes and specialty chemicals, serving textiles, packaging, paper, and construction markets. It operates in over 90 locations with 4,000 employees and 30 production sites. Thus, Archroma’s broad network enables the delivery of innovative, market-specific solutions.

The company’s growth signifies not only a larger presence but also a strategic commitment to advancing sustainability in the industry. Therefore, Archroma is committed to eliminating hazardous substances from its products and processes, ensuring compliance with existing environmental standards while anticipating future regulations. This forward-thinking approach solidifies Archroma's position as a leader in clean chemistry and resource efficiency.

During the company’s financial year ended September 30, 2024, Archroma faced significant challenges due to global economic pressures, including record inflation, rising energy and commodity prices, and geopolitical conflicts. Additionally, reduced demand in the textiles and construction sectors, along with underutilised production capacity in the textile industry, led to a 20% decline in Textile Effects sales, while Packaging Technologies sales grew by 3%.

The company’s net sales fell to Rs24.7 billion from Rs30.01 billion, and gross revenue declined to Rs28.5 billion compared to the previous year. Additionally, increased raw material costs, administrative expenses, borrowing costs, and tax rates severely impacted profitability, resulting in a net loss of Rs546.4 million compared to a profit of Rs1.24 billion the prior year. In response, the company focused on reducing working capital and bank borrowings to address financial challenges.

Archroma’s commitment to sustainability is reflected in initiatives like the ONE WAY impact calculator and the Sustainability Improvement Programme, which empower customers to effectively track resource savings and productivity gains. By emphasizing sustainable practices, Archroma not only improves its own product portfolio but also supports clients in reaching their sustainability objectives. Archroma emphasises that combining local entrepreneurship with a global framework drives both innovation and growth.

By utilising local knowledge and expertise, the company is able to better meet the needs of customers in diverse markets. This collaborative strategy enables Archroma to surpass competitors while maintaining its high standards of quality and service. The recent acquisition of Huntsman Textile Effects has reinforced Archroma's market standing, broadening its product range and increasing its global footprint. This strategic acquisition aligns with the company's mission to lead in sustainable solutions across its industries.

As Archroma expands its global presence to 93 markets, the company remains focused on growth opportunities driven by the worldwide shift toward sustainability. Positioned as a leader in this transformation, Archroma’s commitment to innovation and responsible practices ensures its continued success in the evolving specialty chemicals sector. By delivering advanced solutions that prioritise both people and the planet, Archroma is not only enhancing industries but also paving the way for a more sustainable future for generations to come.

Credit: INP-WealthPk