V-MART RETAIL Announces Quarterly Results (3QFY21); Net Profit Down 17.8%

Mon, 25 Jan

V-MART RETAIL has announced its results for the quarter ended December 2020. Here is a detailed performance review of the same:

V-MART RETAIL Quarterly Financials

No. of Mths Qtr. Ending		3 Dec-19*	3 Sep-20*	3 Dec-20*	QoQ Change	YoY Change
Net Sales	Rs m	5,622	1,755	4,700	167.8%	-16.4%
Other income	Rs m	4	150	3	-98.1%	-33.6%
Turnover	Rs m	5,626	1,905	4,703	146.9%	-16.4%
Expenses	Rs m	4,454	1,758	3,662	108.2%	-17.8%
Gross profit	Rs m	1,168	-3	1,038		-11.1%
Depreciation	Rs m	245	257	254	-1.4%	3.8%
Interest	Rs m	158	147	150	2.4%	-4.9%
Profit before tax	Rs m	770	-257	637		-17.2%
Tax	Rs m	188	-68	158		-15.5%
Profit after tax	Rs m	582	-190	479		-17.8%
Gross profit margin	%	20.8	-0.2	22.1
Effective tax rate	%	24.4	26.3	24.9
Net profit margin	%	10.3	-10.0	10.2

Year-on-Year Performance:

• The company's operating income during the quarter fell 16.4% on a year-on-year (YoY) basis. The expenses were down by 17.8% YoY during the same period.
• The company's operating profit declined by 11.1% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 22.1% in 3QFY21 as against 20.8% in 3QFY20.
• Depreciation charges increased by 3.8% and finance costs declined by 4.9% YoY, respectively.
• Other income declined by 33.6% YoY during the quarter.
• Net profit for the quarter declined by 17.8% YoY. Net profit margins during the quarter declined from 10.3% in 3QFY20 to 10.2% in 3QFY21.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 167.8% on a quarter-on-quarter (QoQ) basis. The expenses were up by 108.2% QoQ during the same period.
• The company's operating profit declined by 30461.7% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 22.1% in 3QFY21 as against 0.2% in 2QFY20.
• Net profit for the quarter increased by 352.4% QoQ, while net profit margins increased from -10.0% in 2QFY20 to 10.2% in 3QFY21.

To see how V-MART RETAIL has performed over the last eight quarters,please visit here.

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V-MART RETAIL Share Price Performance

Over the last one year, V-MART RETAIL share price has moved up from Rs 1,969.1 to Rs 2,516.2, registering a Gain of Rs 547.2 or around 27.8%.

Overall, the S&P BSE SENSEX is up 18.3% over the year.

Current Valuations

At the current price of Rs 2,516.2, the price to book value (P/BV) ratio of V-MART RETAIL stands at 11.2 times.