Capitaline

Results 01-Aug-21

Analysis

L G Balakrishnan & Bros

Sales more than doubles

Consolidated net sales (including other operating income) of L G Balakrishnan & Bros for the quarter ended Jun 2021 has increased 102% to Rs 392.55 crore on low base due to covid national lockdown last year. Operating profit margin has jumped from 7.4% to 15.6%, leading to 325% rise in operating profit to Rs 61.26 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 41.17% to 45.97%. Employee cost decreased from 22.96% to 16.58%. Other expenses fell from 26.91% to 23.01%. Other income rose 898% to Rs 3.98 crore. Provision for interest fell 45% to Rs 1.61 crore. Provision for depreciation fell 0.05% to Rs 20.47 crore. Thus the PBT was a profit of Rs 43.16 crore compared to a loss of RS 8.10 crore in corresponding previous period. Taxation was a provision of Rs 10.07 crore compared to a write-back of Rs 2.01 crore. Thus the PAT was a profit of Rs 33.09 crore compared to a loss of Rs 6.09 crore in corresponding previous period. Share of profit/loss were nil in both the periods. Minority interest was a share of profit of Rs 0.13 crore compared to share of loss of Rs 0.02 crore. . Thus the net profit attributable to owners was a profit of Rs 32.96 crore compared to a loss of Rs 6.07 crore in corresponding previous period.

Sales of Formed Metal & Assembled Products segment has gone up 94.72% to Rs 90.15 crore (accounting for 22.96% of total sales). Sales of Transmission segment has gone up 103.87% to Rs 302.40 crore (accounting for 77.04% of total sales).

PBIT of Formed Metal & Assembled Products reported profit of Rs 11.49 crore compared to loss of Rs 7.24 crore. PBIT of Transmission segment rose 1,284.13% to Rs 35.47 crore (accounting for 75.54% of total PBIT).

PBIT margin of Formed Metal & Assembled Products segment rose from negative 15.65% to 12.74%. PBIT margin of Transmission segment rose from 1.73% to 11.73%. Overall PBIT margin rose from 2.40% to 11.96%.

Other developments

Promoters’ stake was 41.98% as of 30 June 2021, compared to 47.14% as of 30 June 2020.

LG Balakrishnan & Bros: Consolidated Results
	2106 (3)	2006 (3)	Var. (%)	2103 (12)	2003 (12)	Var. (%)
Sales	392.55	194.63	102	1608.99	1542.83	4
OPM (%)	15.6	7.4		15.7	12.1
OP	61.26	14.43	325	252.89	186.25	36
Other inc.	3.98	0.40	898	6.97	3.66	90
PBIDT	65.24	14.83	340	259.85	189.91	37
Interest	1.61	2.92	-45	10.04	15.24	-34
PBDT	63.63	11.91	434	249.81	174.67	43
Dep.	20.47	20.48	0	83.32	78.66	6
PBT	43.16	-8.57	LP	166.49	96.01	73
EO	0.00	-0.48	-100	-13.62	-18.83	-28
PBT after EO	43.16	-8.10	LP	180.12	114.84	57
Taxation	10.07	-2.01	PL	47.27	24.72	91
PAT	33.09	-6.09	-643	132.84	90.12	47
P/L on Associates	0.00	0.00		0.00	1.16	-100
Minority Interest (MI)	0.13	-0.02	LP	-0.61	-0.35	75
Net profit after MI	32.96	-6.07	LP	133.46	91.63	46
EPS (Rs)*	#	#		39.3	24.5
* EPS is on current equity of Rs 31.3924 crore, Face value of Rs 10
# EPS is not annualised due to seasonality of business
** Variance could not be calculated as no previous period figures
Figures in Rs crore
Source: Capitaline Corporate Database

LG Balakrishnan & Bros: Consolidated Segment Results
Segment	% to total	2106 (3)	2006 (3)	Var. (%)	% to total	2103 (12)	2003 (12)	Var.(%)
Sales
Transmission	77	302.40	148.33	104	81	1302.06	1188.36	10
Metal Forming	23	90.15	46.30	95	19	306.93	354.47	-13
Total Sales	100	392.55	194.63	102	100	1608.99	1542.83	4
Inter Segment Revenue
Net sales		392.55	194.63			1608.99	1542.83

PBIT
Transmission	76	35.47	2.56	1284	98	181.66	105.58	72
Metal Forming	24	11.49	-7.24	LP	2	4.25	9.99	-57
Total PBIT	100	46.96	-4.68	-LP	100	185.91	115.58	61
LESS: Interest expenes		1.61	2.92	-45		10.04	15.24	-34
Other income & unallocable expenses		2.19	0.50	336		-4.25	-14.50
PBT		43.16	-8.10	LP		180.12	114.84	57

Previous News

L G Balakrishnan & Bros
( Results - Analysis 01-Aug-21 08:43 )

L G Balakrishnan & Bros consolidated net profit rises 93.03% in the December 2020 quarter
( Results - Announcements 29-Jan-21 08:01 )

L G Balakrishnan & Bros reports consolidated net profit of Rs 32.96 crore in the June 2021 quarter
( Results - Announcements 02-Aug-21 08:05 )

L G Balakrishnan & Bros
( Results - Analysis 15-May-14 15:25 )

LG Balakrishnan & Bros to discuss results
( Corporate News - 27-Sep-24 10:15 )

Board of L G Balakrishnan & Bros approves allotment of 5 lakh convertible warrants
( Corporate News - 13-Mar-24 10:51 )

LG Balakrishnan & Bros schedules EGM
( Corporate News - 31-Jan-24 12:07 )

Board of LG Balakrishnan & Bros recommends final dividend
( Corporate News - 09-May-17 16:52 )

L G Balakrishnan & Bros
( Results - Analysis 07-Feb-17 14:51 )

L G Balakrishnan & Bros net profit rises 31.81% in the December 2009 quarter
( Results - Announcements 28-Jan-10 21:04 )

Outcome of board meeting of L G Balakrishnan & Bros
( Corporate News - 15-May-14 13:46 )