• Upside in revenue was largely due to higher revenue of consumables. The segment revenue of consumables was up by 14% to Rs 107.12 crore or 79% of sales with gradual recovery in auto and engineering industries. But the segment revenue of Equipment and projects was down by 17% to Rs 28.23 crore (or 21% of sales) as capital expenditure come to a halt and delay in execution of ongoing projects in hand.
• EBIT was down by 42% to Rs 8.10 crore with segment profit of consumables was down by 7% to Rs 14.98 crore and that of Equipment & project being a loss of Rs 6.88 crore higher compared to a loss of Rs 2.22 crore in the corresponding previous period.

Consolidated sales for the quarter wasup by 6% to Rs 135.15 crore. With OPMdown by 380 bps to 5.3%, the operating profit was down by 38% to Rs 7.21 crore. The PBT was down by 45% to Rs 5.02 crore and eventually the net profit was down by 48% to Rs 3.45 crore.

Nine month performance

Standalone sales was down by 26% to Rs 285.69 crore. With OPM decline by 630 bps to 1.5%, the operating profit was down by 86% to Rs 4.28 crore. After accounting for lower OI, lower interest and higher depreciation, the PBT was a loss of Rs 4.01 crore against a profit of Rs 23.63 crore in the corresponding previous period. The PAT was a loss of Rs 2.58 crore as against a profit of Rs 19.50 crore in the corresponding previous period.

Consolidated sales was down by 26% to Rs 286.01 crore and the operating profit was down by 85% dragged by lower sales as well as 630 bps fall in OPM to 1.6%. The PBT was a loss of Rs 3.79 crore compared to a profit of Rs 23.99 crore in the corresponding previous period. Eventually at PAT level it was a loss of Rs 2.37 crore compared to a profit of Rs 19.90 crore in the corresponding previous period.

Other developments

During the quarter ending December 2020, the Company has entered into a Memorandum of Understanding for the sale/transfer of its right in Ahmednagar property admeasuring 33,300 square meters for a consideration of Rs. 551 lakhs. Further, the Company has also got approval from the Board for sale/ transfer of its right for balance part of Ahmednagar property admeasuring 32,800 square meters for consideration of Rs. 911 lakhs.

During the current quarter, the Company has been made aware of certain liquidated damages and project cost overrun with respect to the delay in the execution of an overseas Engineering Procurement and Constructions (PC) project. The management believes that the impact of this should be restated in the respective lines on the financial statements / information of the previous periods. The restatement is on account of omissions of the past, which have now been taken into consideration in the relevant accounting periods to which they relate to. Accordingly, the impact on Earnings per Share (EPS) has been considered.

The impact of it for the quarter and nine month ended Dec 220 was a loss of Rs 0.42 crore and RS 1.99 crore respectively.