Bharat Forge jumped 5% to Rs 730.65 after the company posted a standalone net profit of Rs 205.5 crore in Q4 FY21 compared with net loss of Rs 73.2 crore in Q4 FY20.
Total revenue increased 48.3% to Rs 1,307.4 crore in Q4 FY21 as against Rs 881.2 crore in Q4 FY20. Surge in revenue was on the back of a strong 42.9% growth in export revenues and 9.6% growth in domestic revenues.Profit before tax was sharply higher at Rs 250.9 crore in Q4 FY21 as against Rs 53.5 crore in Q4 FY20.
EBITDA zoomed 124.8% to Rs 333.2 crore in Q4 FY21 from Rs 148.2 crore in Q4 FY20. EBITDA margin improved to 25.5% in Q4 FY21 from 16.8% in Q4 FY20. Margins have expanded by 310 basis points as compared to Q3 FY21.
Bharat Forge reported an exchange gains of Rs 25.9 crore in Q4 FY21 as against a loss of Rs 37.9 crore in Q4 FY20.
The company reported a 34% fall in consolidated net profit to Rs 312.10 crore for the year ended March 2021 (FY21) compared with Rs 473.50 crore posted in the year ended March 2020 (FY20). Total revenue declined 20% to Rs 3,651.60 crore in FY21 over FY20.
B.N. Kalyani, chairman & MD said, "The year has ended on a strong note with sharp recovery visible in all our end markets. Q4 FY21 has witnessed a 26.2% growth in sales on back of 43% growth in exports, which is now witnessing growth in all key segments. Despite cost inflationary pressures, EBITDA% has increased by 310 bps. The balance sheet at end of FY21, continues to be robust with significant level of liquidity. Operating cash flows were strong in FY21 and will improve further in FY22. Return ratio will normalize towards the 20% range with improvement in asset utilization in the coming years. During the quarter, we have been declared as the successful bidder for Sanghvi Forgings based in Vadodara. This enhances our footprint in India and builds upon our industrial product manufacturing capabilities. We recently secured an order from the Government of India for development & supply of components/products and the same shall be executed by end of September 2021. As we enter FY22, we are seeing robust demand continue in major segment in the export business. The lockdown in India to curtail the spread of Covid has clearly had an impact on demand & production in the automotive sector. We are optimistic that this weakness is temporary in nature and we will witness growth in India as business activities normalize."
Bharat Forge's long-term debt as of 31 March 2021 stood at Rs 2,064.3 crore, slightly higher than Rs 1,835.1 crore in 31 March 2020. The debt equity ratio (D/E) stood at 0.61 times as of 31 March 2021. Cash stood Rs 2,680.9 crore at the end of 31 March 2021 as against Rs 1,882.1 crore as of 31 March 2020.
Meanwhile, the board declared a final dividend of Rs 2 per equity share for the financial year ended 31 March 2021.
Bharat Forge is a multinational company involved in automotives, power, oil & gas, construction & mining, locomotive, marine, defense and aerospace industries.
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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)
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