For the
quarter ending March 2022, consolidated net sales (including other operating income) of Sona BLW Precision Forgings has increased 1.98% to Rs 550.01 crore compared to quarter ended March 2021.
Operating profit margin has declined from 25.98% to 24.61%, leading to 3.38% decline in operating profit to Rs 135.37 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 43.66% to 45.54%. Employee cost decreased from 8.39% to 7.17%. Other expenses rose from 22.33% to 22.95%. Other income rose 5,200% to Rs 14.31 crore. PBIDT rose 6.63% to Rs 149.68 crore. Provision for interest fell 63.20% to Rs 3.47 crore. Loan funds declined from Rs 447.20 crore as of 31 March 2021 to Rs 151.15 crore as of 31 March 2022. Inventories rose to Rs 363.38 crore as of 31 March 2022 from Rs 305.56 crore as of 31 March 2021. Sundry debtors were higher at Rs 445.19 crore as of 31 March 2022 compared to Rs 416.99 crore as of 31 March 2021. Cash and bank balance rose to Rs 77.25 crore as of 31 March 2022 from Rs 27.58 crore as of 31 March 2021. PBDT rose 11.66% to Rs 146.21 crore. Provision for depreciation rose 33.01% to Rs 37.35 crore. Fixed assets increased to Rs 1,355.70 crore as of 31 March 2022 from Rs 1,124.00 crore as of 31 March 2021. Intangible assets stood at Rs 175.81 crore. Profit before tax grew 5.83% to Rs 108.86 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 4.2 crore, compared to Rs 29.32 crore. Effective tax rate was 3.86% compared to 32.96%. Minority interest was nil in both the periods. Net profit attributable to owners of the company increased 75.52% to Rs 104.66 crore. Equity capital increased from Rs 572.98 crore as of 31 March 2021 to Rs 584.35 crore as of 31 March 2022. Per share face Value remained same at Rs 10.00. Promoters’ stake was 67.18% as of 31 March 2022
Full year results analysis.
Net sales (including other operating income) of Sona BLW Precision Forgings has increased 36.03% to Rs 2130.64 crore. Operating profit margin has declined from 28.16% to 26.24%, leading to 26.77% rise in operating profit to Rs 559.10 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 43.51% to 45.50%. Employee cost decreased from 9.04% to 7.77%. Other expenses rose from 20.39% to 21.02%. Other income rose 755.98% to Rs 20.03 crore. PBIDT rose 30.62% to Rs 579.13 crore. Provision for interest fell 43.85% to Rs 18.26 crore. Loan funds declined from Rs 447.20 crore as of 31 March 2021 to Rs 151.15 crore as of 31 March 2022. Inventories rose to Rs 363.38 crore as of 31 March 2022 from Rs 305.56 crore as of 31 March 2021. Sundry debtors were higher at Rs 445.19 crore as of 31 March 2022 compared to Rs 416.99 crore as of 31 March 2021. Cash and bank balance rose to Rs 77.25 crore as of 31 March 2022 from Rs 27.58 crore as of 31 March 2021. PBDT rose 36.51% to Rs 560.87 crore. Provision for depreciation rose 46.45% to Rs 141.97 crore. Fixed assets increased to Rs 1,355.70 crore as of 31 March 2022 from Rs 1,124.00 crore as of 31 March 2021. Intangible assets stood at Rs 175.81 crore. Profit before tax grew 33.45% to Rs 418.90 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 70.63 crore, compared to Rs 84.83 crore. Effective tax rate was 16.34% compared to 28.28%. Minority interest was nil in both the periods. Net profit attributable to owners of the company increased 68.03% to Rs 361.54 crore. Equity capital increased from Rs 572.98 crore as of 31 March 2021 to Rs 584.35 crore as of 31 March 2022. Per share face Value remained same at Rs 10.00. Promoters’ stake was 67.18% as of 31 March 2022 Cash flow from operating activities increased to Rs 444.58 crore for year ended March 2022 from Rs 142.73 crore for year ended March 2021. Cash flow used in acquiring fixed assets during the year ended March 2022 stood at Rs 347.21 crore, compared to Rs 218.94 crore during the year ended March 2021.
Other Highlights
The Board of
Directors has recommended the Final Dividend of Rs 0.77 per equity share of the
Company having face value of Rs 10 each for the financial year 2021 -22 to the
shareholders of the Company. The Board has fixed Thursday, 30th June, 2022, as
the "Record Date" for the purpose of ascertaining the eligibility of
shareholders for the payment of final dividend.
On 5th May
2022, Sona Comstar partners with C-Motive Technologies to develop electrostatic
drive motors for EV applications , for which serial production will likely
start in 2026. C-Motive Technologies is a high-tech electric motor company
based in Madison, Wisconsin, that is unleashing the potential of electrostatic
motors, generators, and actuators.
In Q4 FY22,
The net order book increased to Rs 18,600 crore from Rs 14,000 crore as at the
end of Q1FY22 with 43 new program wins and 10 new customer wins. EV contributes
62% total net order book of Rs 18,600 crore.
Company’s
pure ICE dependence continues to reduce steadily going from 24.8% in FY21 to
17.6% in FY22.
Company
added six new programs and five new customers in Q4 FY22. The number of awarded
programs increased to 30 across 19 different customers.
Revenue from
Battery EV grew 104% YoY to Rs 149 crore in Q4 FY22 and contributed 29% of
total revenue against 14% in FY21. Revenue share from BEV has grown 19x over 3
years, with absolute BEV revenue growth at 29 times.
The revenue share
of differential assemblies increased from 18% in FY21 to 27% in FY22.
In FY22,
Europe contributed 22% of total revenue, North America 33%, India 26%, Asia 18%
and 1% ROW.
In FY22,
differential gears contributed 25% of total revenue, micro/hybrid starter
motors 26%, differential assembly 27%, conventional starter motors 17%, other
gears 3% and others 2%.
Management Comments :
Commenting
on the partnership Mr Kiran M Deshmukh, Group CTO of Sona Comstar, said,
"We are proud to announce our partnership with C-Motive, a technology
start-up that is using electrostatic forces to build a motor through a series
of multiplicative gains in mechanical, electrical, and electrochemical
innovations. We are impressed with C-Motive`s motor`s high yet ripple-free
torque generation without active cooling, very little copper, and no rare earth
metals or magnets. With the development of technologically superior and
commercially competitive products compared to the existing electromagnetic
motors, there will be a large market opportunity in the fast-growing e-mobility
market. Sona Comstar will continue to offer cutting edge technologies to its
customers and play a leading role in driving faster adoption of electric
mobility in India and globally."
Mr Matthew
Maroon, Chief Executive Officer at C-Motive Technologies, commented, "
CMotive was founded with the goal of transforming how the world produces and
consumes electricity. We share Sona Comstar`s vision of the mobility markets of
the future and believe that their technical capabilities, global reach, and
high-quality manufacturing operations are an ideal match for C-Motive`s
next-generation motor technology. Together we will be able to accelerate the
world`s transition to electrify mobility and do so with an efficient and
environmentally sustainable product. On behalf of the entire C-Motive team, we
thank the team at Sona Comstar for their vision and hard work in putting this
partnership in place. We are excited for our future together."
Mr Vivek
Vikram Singh, MD & Group CEO, said: "Our revenue growth of 2% y-o-y in
the fourth quarter was driven by the rapid scale-up of revenues from BEV, which
are higher by 104% yo-y, representing 29% of overall revenues. Despite the
unprecedented headwinds in our industry due to the continued decline in the
global light-vehicle sales and rising commodity and energy costs, we have
achieved 36% growth in revenue, 27% growth in EBITDA, and 32% return on capital
in FY22. We have added two new driveline products in the quarter, demonstrating
our capabilities to develop and offer transmission solutions for all types of
BEVs architecture. With six new EV programs awarded during the quarter, our net
order book has grown to Rs. 18,600 crores of which EV contributes 62%."
| Sona BLW Precision Forgings : Consolidated Results | | | Quarter ended | Year ended |
|---|
| Particulars | 202203 | 202103 | Var.(%) | 202203 | 202103 | Var.(%) |
|---|
| Net Sales (including other operating income) | 550.01 | 539.34 | 1.98 | 2,130.64 | 1,566.30 | 36.03 | | OPM (%) | 24.61 | 25.98 | -136 bps | 26.24 | 28.16 | -192 bps | | OP | 135.37 | 140.10 | -3.38 | 559.10 | 441.03 | 26.77 | | Other Inc. | 14.31 | 0.27 | 5,200.00 | 20.03 | 2.34 | 755.98 | | PBIDT | 149.68 | 140.37 | 6.63 | 579.13 | 443.37 | 30.62 | | Interest | 3.47 | 9.43 | -63.20 | 18.26 | 32.52 | -43.85 | | PBDT | 146.21 | 130.94 | 11.66 | 560.87 | 410.85 | 36.51 | | Depreciation | 37.35 | 28.08 | 33.01 | 141.97 | 96.94 | 46.45 | | PBT | 108.86 | 102.86 | 5.83 | 418.9 | 313.91 | 33.45 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 108.86 | 102.86 | 5.83 | 418.9 | 313.91 | 33.45 | | EO Income | 0 | -13.91 | - | 13.27 | -13.91 | LP | | PBT after EO | 108.86 | 88.95 | 22.38 | 432.17 | 300 | 44.06 | | Taxation | 4.2 | 29.32 | -85.68 | 70.63 | 84.83 | -16.74 | | PAT | 104.66 | 59.63 | 75.52 | 361.54 | 215.17 | 68.03 | | Minority Interest (MI) | 0 | 0 | - | 0 | 0 | - | | Net profit | 104.66 | 59.63 | 75.52 | 361.54 | 215.17 | 68.03 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 104.66 | 59.63 | 75.52 | 361.54 | 215.17 | 68.03 | | EPS (Rs)* | 1.79 | 1.18 | 51.79 | 6.00 | 3.85 | 55.65 | | | * EPS is on current equity of Rs 584.35 crore, Face value of Rs 10, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
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