GMM PFAUDLER Announces Quarterly Results (1QFY22); Net Profit Down 195.9%

Mon, 16 Aug

GMM PFAUDLER has announced its results for the quarter ended June 2021. Here is a detailed performance review of the same:

GMM PFAUDLER Quarterly Financials

No. of Mths Qtr. Ending		3 Jun-20*	3 Mar-21*	3 Jun-21*	QoQ Change	YoY Change
Net Sales	Rs m	1,544	4,586	5,517	20.3%	257.2%
Other income	Rs m	27	161	12	-92.6%	-56.0%
Turnover	Rs m	1,572	4,747	5,529	16.5%	251.8%
Expenses	Rs m	1,269	4,289	5,157	20.3%	306.3%
Gross profit	Rs m	275	-38	359		30.7%
Depreciation	Rs m	60	276	387	40.2%	547.0%
Interest	Rs m	12	55	141	158.5%	1109.5%
Profit before tax	Rs m	231	-207	-156		-167.8%
Tax	Rs m	39	-150	28		-29.0%
Profit after tax	Rs m	192	-58	-184		-195.9%
Gross profit margin	%	17.8	-0.8	6.5
Effective tax rate	%	16.8	72.2	-17.6
Net profit margin	%	12.2	-1.2	-3.3

Year-on-Year Performance:

• The company's operating income during the quarter grew 257.2% on a year-on-year (YoY) basis. The expenses were up by 306.3% YoY during the same period.
• The company's operating profit increased by 30.7% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 6.5% in 1QFY22 as against 17.8% in 1QFY21.
• Depreciation charges increased by 547.0% and finance costs increased by 1109.5% YoY, respectively.
• Other income declined by 56.0% YoY during the quarter.
• Net profit for the quarter declined by 195.9% YoY. Net profit margins during the quarter declined from 12.2% in 1QFY21 to -3.3% in 1QFY22.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 20.3% on a quarter-on-quarter (QoQ) basis. The expenses were up by 20.3% QoQ during the same period.
• The company's operating profit declined by 1058.1% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 6.5% in 1QFY22 as against 0.8% in 4QFY21.
• Net profit for the quarter declined by 220.0% QoQ, while net profit margins declined from -1.2% in 4QFY21 to -3.3% in 1QFY22.

To see how GMM PFAUDLER has performed over the last eight quarters,please visit here.

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GMM PFAUDLER Share Price Performance

Over the last one year, GMM PFAUDLER share price has moved down from Rs 5,779.0 to Rs 4,370.3, registering a Loss of Rs 1,408.7 or around 24.4%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 24,137.5 (down 0.7%). Over the last one year it has moved up from 13,777.8 to 24,137.5, a gain of 10,360 points (up 75.2%).

Overall, the S&P BSE SENSEX is up 44.8% over the year.

Current Valuations

At the current price of Rs 4,370.3, the price to earnings (P/E) ratio of GMM PFAUDLER stands at 247.5 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 15.7 times.