Standalone net sales of Ador Welding for the quarter ended Sep 2022 has increased 15.90% to Rs 184.87 crore. Operating profit margin has jumped from 8.17% to 8.19%, leading to 16.19% rise in operating profit to Rs 15.14 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 65.23% to 64.62%. Purchase of finished goods cost fell from 6.86% to 4.13%. Employee cost increased from 7.87% to 8.05%. Other expenses rose from 11.72% to 14.53%. Other income up 15.67% to Rs 1.55 crore. PBIDT rose 16.14% to Rs 16.69 crore. Provision for interest fell 56.52% to Rs 0.5 crore. PBDT rose 22.47% to Rs 16.19 crore. Provision for depreciation rose 7.55% to Rs 2.85 crore. Profit before tax grew 26.21% to Rs 13.34 crore. EO was nil against an income of Rs 7.15 croe. Thus on inflated base the PBT after EO was down 25% to Rs 13.34 crore. Provision for tax was expense of Rs 3.36 crore, compared to Rs 3.08 crore. Effective tax rate was 25.19% compared to 17.38%. Profit after tax fell 31.83% to Rs 9.98 crore.
- Sales of Consumables segment has gone up 17.53% to Rs 148.07 crore (accounting for 80.04% of total sales). Sales of Equipments and Automation segment has gone up 2.97% to Rs 28.45 crore (accounting for 15.38% of total sales). Sales of Flares & Process Equipment Division segment has gone up 37.00% to Rs 8.48 crore (accounting for 4.58% of total sales). Inter-segment sales came down from Rs 0.29 crore to Rs 0.13 crore.
- Profit before interest, tax and other unallocable items (PBIT) has jumped 19.51% to Rs 18.07 crore. PBIT of Consumables segment rose 28.61% to Rs 16.41 crore (accounting for 90.81% of total PBIT). PBIT of Equipments and Automation segment fell 45.34% to Rs 1.70 crore (accounting for 9.41% of total PBIT). PBIT of Flares & Process Equipment Division segment rose 94.67% to Rs -0.04 crore (accounting for -0.22% of total PBIT).
- PBIT margin of Consumables segment rose from 10.13% to 11.08%. PBIT margin of Equipments and Automation segment fell from 11.26% to 5.98%. PBIT margin of Flares & Process Equipment Division segment rose from negative 12.12% to negative 0.47%. Overall PBIT margin rose from 9.46% to 9.77%.
Consolidated net sales has increased 15.90% to Rs 184.87 crore. Operating profit margin has jumped from 8.16% to 8.19%, leading to 16.36% rise in operating profit to Rs 15.15 crore. Other income rose 13.87% to Rs 1.56 crore. PBIDT rose 16.12% to Rs 16.71 crore. Provision for interest fell 56.52% to Rs 0.5 crore. Provision for depreciation rose 7.49% to Rs 2.87 crore. Profit before tax grew 26.21% to Rs 13.34 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 3.36 crore, compared to Rs 3.08 crore. Effective tax rate was 25.19% compared to 17.38%. Minority interest was nil in both the periods. Net profit attributable to owners of the company decreased 31.83% to Rs 9.98 crore.
Half yearly performance
Standalone net sales has increased 19.26% to Rs 342.75 crore. Operating profit margin has jumped from 8.40% to 9.17%, leading to 30.14% rise in operating profit to Rs 31.43 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 67.30% to 65.19%. Purchase of finished goods cost fell from 5.60% to 3.92%. Employee cost increased from 7.85% to 7.91%. Other expenses rose from 11.17% to 14.00%. Other income up 22.18% to Rs 3.58 crore. PBIDT rose 29.28% to Rs 35.01 crore. Provision for interest fell 56.25% to Rs 0.91 crore. PBDT rose 36.40% to Rs 34.1 crore. Provision for depreciation rose 4.86% to Rs 5.61 crore. Profit before tax grew 44.99% to Rs 28.49 crore. Provision for tax was expense of Rs 6.8 crore, compared to Rs 5.41 crore. Effective tax rate was 24.96% compared to 20.19%. Profit after tax fell 4.44% to Rs 20.44 crore.
- Sales of Consumables segment has gone up 17.07% to Rs 269.45 crore (accounting for 78.55% of total sales). Sales of Equipments and Automation segment has gone up 8.06% to Rs 51.19 crore (accounting for 14.92% of total sales). Sales of Flares & Process Equipment Division segment has gone up 106.73% to Rs 22.41 crore (accounting for 6.53% of total sales). Inter-segment sales came down from Rs 0.98 crore to Rs 0.30 crore.
- Profit before interest, tax and other unallocable items (PBIT) has jumped 40.53% to Rs 39.18 crore. PBIT of Consumables segment rose 44.56% to Rs 34.78 crore (accounting for 88.77% of total PBIT). PBIT of Equipments and Automation segment fell 53.88% to Rs 2.44 crore (accounting for 6.23% of total PBIT). PBIT of Flares & Process Equipment Division reported profit of Rs 1.96 crore compared to loss of Rs 1.47 crore.
- PBIT margin of Consumables segment rose from 10.45% to 12.91%. PBIT margin of Equipments and Automation segment fell from 11.17% to 4.77%. PBIT margin of Flares & Process Equipment Division segment rose from negative 13.56% to 8.75%. Overall PBIT margin rose from 9.67% to 11.42%.
Consolidated net sales has increased 19.26% to Rs 342.75 crore. Operating profit margin has jumped from 8.40% to 9.16%, leading to 30.12% rise in operating profit to Rs 31.41 crore. Other income rose 20.47% to Rs 3.59 crore. PBIDT rose 29.06% to Rs 35 crore. Provision for interest fell 56.25% to Rs 0.91 crore. PBDT rose 36.14% to Rs 34.09 crore. Provision for depreciation rose 4.82% to Rs 5.65 crore. Profit before tax grew 44.73% to Rs 28.44 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 6.8 crore, compared to Rs 5.41 crore. Effective tax rate was 25.01% compared to 20.19%. Minority interest was nil in both the periods. Net profit attributable to owners of the company decreased 4.68% to Rs 20.39 crore.
Other developments
Equity capital stood at Rs 13.60 crore as of 30 September 2022 to Rs 13.60 crore as of 30 September 2021. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 56.90% as of 30 September 2022 ,compared to 56.90% as of 30 September 2021 .
Loan funds declined from Rs 32.19 crore as of 30 September 2021 to Rs 20.61 crore as of 30 September 2022. Inventories rose to Rs 108.59 crore as of 30 September 2022 from Rs 95.30 crore as of 30 September 2021. Sundry debtors were higher at Rs 99.12 crore as of 30 September 2022 compared to Rs 98.95 crore as of 30 September 2021. Cash and bank balance declined from Rs 10.61 crore as of 30 September 2021 to Rs 3.28 crore as of 30 September 2022. Investments rose to Rs 21.05 crore as of 30 September 2022 from Rs 17.94 crore as of 30 September 2021. Fixed assets increased to Rs 120.61 crore as of 30 September 2022 from Rs 118.02 crore as of 30 September 2021. Intangible assets increased from Rs 0.59 crore to Rs 0.71 crore.
Cash flow from operating activities increased to negative Rs -0.20 crore for YTD ended September 2022 from negative Rs -7.56 crore for YTD ended September 2021. Cash flow used in acquiring fixed assets during the YTD ended September 2022 stood at Rs 5.38 crore, compared to Rs 8.43 crore during the YTD ended September 2021.