On consolidated basis
Quarter ended March 2024 compared
with Quarter ended March 2023.
Net sales (including other operating income) of Shankara Building Products has
increased 13.76% to Rs 1376.55 crore. Sales of Retail segment has
gone up 5.08% to Rs 709.11 crore (accounting for 51.51% of total
sales). Sales of Channel & Enterprise segment has gone up 24.72%
to Rs 667.44 crore (accounting for 48.49% of total sales).
Profit before interest, tax and
other unallocable items (PBIT) has jumped 20.71% to Rs 51.52
crore. PBIT of Retail segment rose 22.05% to Rs 45.34 crore
(accounting for 88.00% of total PBIT). PBIT of Channel &
Enterprise segment rose 11.75% to Rs 6.18 crore (accounting for 12.00% of total
PBIT).
PBIT margin of Retail segment rose
from 5.50% to 6.39%. PBIT margin of Channel & Enterprise segment
fell from 1.03% to 0.93%. Overall PBIT margin rose from 3.53% to
3.74%.
Operating profit margin has jumped
from 2.97% to 3.12%, leading to 19.82% rise in operating profit to Rs 42.99
crore. Raw material cost as a % of total sales (net of stock
adjustments) increased from 17.49% to 21.72%. Purchase of finished
goods cost fell from 77.37% to 72.55%. Employee cost increased from
1.01% to 1.05%. Other expenses rose from 1.23% to 1.53%.
Other income rose 183.53% to Rs 2.41
crore. PBIDT rose 23.60% to Rs 45.4 crore. Provision for
interest rose 40.94% to Rs 9.26 crore. Loan funds declined from Rs
87.84 crore as of 31 March 2023 to Rs 86.65 crore as of 31 March
2024. Inventories rose to Rs 484.76 crore as of 31 March 2024 from
Rs 425.35 crore as of 31 March 2023. Sundry debtors were higher at
Rs 686.11 crore as of 31 March 2024 compared to Rs 511.06 crore as of 31 March
2023. Cash and bank balance rose to Rs 34.40 crore as of 31 March
2024 from Rs 11.91 crore as of 31 March 2023.
PBDT rose 19.83% to Rs 36.14
crore. Provision for depreciation fell 5.92% to Rs 3.97
crore. Fixed assets increased to Rs 281.72 crore as of 31 March 2024
from Rs 270.35 crore as of 31 March 2023. Intangible assets stood at
Rs 14.04 crore.
Profit before tax grew 24.02% to Rs
32.17 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 7.95 crore, compared to
Rs 6.8 crore. Effective tax rate was 24.71% compared to 26.21%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company
increased 26.54% to Rs 24.22 crore.
Equity capital increased from Rs
22.85 crore as of 31 March 2023 to Rs 24.25 crore as of 31 March
2024. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 49.22% as of 31
March 2024 ,compared to 52.19% as of 31 March 2023 .
Full year results analysis.
Net sales (including other operating income) of Shankara Building Products has
increased 19.82% to Rs 4828.44 crore. Sales of Retail segment has
gone up 14.34% to Rs 2,556.33 crore (accounting for 52.94% of total
sales). Sales of Channel & Enterprise segment has gone up 26.65%
to Rs 2,272.11 crore (accounting for 47.06% of total sales).
Profit before interest, tax and
other unallocable items (PBIT) has jumped 25.49% to Rs 180.59
crore. PBIT of Retail segment rose 17.12% to Rs 145.57 crore
(accounting for 80.61% of total PBIT). PBIT of Channel &
Enterprise segment rose 78.49% to Rs 35.02 crore (accounting for 19.39% of
total PBIT).
PBIT margin of Retail segment rose
from 5.56% to 5.69%. PBIT margin of Channel & Enterprise segment
rose from 1.09% to 1.54%. Overall PBIT margin rose from 3.57% to
3.74%.
Operating profit margin has jumped
from 2.92% to 3.13%, leading to 28.31% rise in operating profit to Rs 151.11
crore. Raw material cost as a % of total sales (net of stock
adjustments) increased from 17.71% to 19.73%. Purchase of finished
goods cost fell from 76.81% to 74.60%. Employee cost decreased from
1.18% to 1.13%. Other expenses rose from 1.42% to 1.44%.
Other income fell 31.95% to Rs 5.24
crore. PBIDT rose 24.61% to Rs 156.35 crore. Provision
for interest rose 30.61% to Rs 32.34 crore. Loan funds declined from
Rs 87.84 crore as of 31 March 2023 to Rs 86.65 crore as of 31 March
2024. Inventories rose to Rs 484.76 crore as of 31 March 2024 from
Rs 425.35 crore as of 31 March 2023. Sundry debtors were higher at Rs
686.11 crore as of 31 March 2024 compared to Rs 511.06 crore as of 31 March
2023. Cash and bank balance rose to Rs 34.40 crore as of 31 March
2024 from Rs 11.91 crore as of 31 March 2023.
PBDT rose 23.14% to Rs 124.01
crore. Provision for depreciation fell 2.63% to Rs 15.91
crore. Fixed assets increased to Rs 281.72 crore as of 31 March 2024
from Rs 270.35 crore as of 31 March 2023. Intangible assets stood at
Rs 14.04 crore.
Profit before tax grew 28.13% to Rs
108.10 crore. Share of profit/loss were nil in both the
periods. Provision for tax was expense of Rs 26.97 crore, compared
to Rs 21.32 crore. Effective tax rate was 24.95% compared to 25.27%.
Minority interest was nil in both
the periods. Net profit attributable to owners of the company increased
28.68% to Rs 81.13 crore.
Equity capital increased from Rs
22.85 crore as of 31 March 2023 to Rs 24.25 crore as of 31 March
2024. Per share face Value remained same at Rs 10.00.
Promoters’ stake was 49.22% as of 31
March 2024 ,compared to 52.19% as of 31 March 2023 .
Cash flow from operating activities
decreased to Rs 9.72 crore for year ended March 2024 from Rs 91.96 crore for
year ended March 2023. Cash flow used in acquiring fixed assets
during the year ended March 2024 stood at Rs 31.74 crore, compared to Rs 44.75
crore during the year ended March 2023.
Operational highlights:
FY2024:
Steel Volume grew by 27% YoY.
Non-Steel Revenues grew by 30% YoY.
Retail Revenue grew by 14% YoY;
average ticket size at Rs. 51,959 (+17% YoY)
Net debt reduced to Rs 49 crore as on Mar 31,2024 from Rs 71
crore .
Dividend: The Board has recommended final dividend of Rs 3/- per equity
share of Rs 10/- each.
Management Commentary:
Commenting on the performance, Mr.
Sukumar Srinivas, Managing Director, Shankara Building Products Ltd said: FY2024
marks a successful year for Shankara, showcasing the resilience of our business
model. Amidst one of the most challenging periods for the building materials
sector, I’m delighted to announce that we have achieved our highest-ever annual
revenue and profits. Notably, our steel volume experienced a 27% growth, while
the non-steel vertical saw a 30% growth, driven by market share gains across
all sub- segments. Our commitment to profitable growth has resulted in even
stronger profit growth compared to our revenue, with an enhanced mix towards
value-added steel and non-steel offerings. Fotia, in particular, has
demonstrated exceptional progress with a 50% growth. Our efforts to diversify
beyond South India have yielded fruitful results, with Western India
contributing 11% to our revenue during the fiscal year. In line with our
strategic objectives, we are in the process of demerging our building materials
marketplace, a move aimed at streamlining our business structure and facilitate
a focused capital allocation strategy under our new generation management. With
a resilient foundation and strategic initiatives in place, we are poised for
sustained growth in the coming years."In line with our strategic
objectives, we are in the process of demerging our building materials
marketplace, which has consistently delivered significant value. This move will
treamline our business structure, enabling a more focused capital allocation
strategy and heightened emphasis on value-adding avenues under our new
generation management. Ultimately, our goal is to unlock substantial value for
all stakeholders in the months and years ahead.”
| Shankara Building Products : Consolidated Results | | | Quarter ended | Year ended |
|---|
| Particulars | 202403 | 202303 | Var.(%) | 202403 | 202303 | Var.(%) |
|---|
| Net Sales (including other operating income) | 1,376.55 | 1,210.02 | 13.76 | 4,828.44 | 4,029.72 | 19.82 | | OPM (%) | 3.12 | 2.97 | 16 bps | 3.13 | 2.92 | 21 bps | | OP | 42.99 | 35.88 | 19.82 | 151.11 | 117.77 | 28.31 | | Other Inc. | 2.41 | 0.85 | 183.53 | 5.24 | 7.70 | -31.95 | | PBIDT | 45.40 | 36.73 | 23.60 | 156.35 | 125.47 | 24.61 | | Interest | 9.26 | 6.57 | 40.94 | 32.34 | 24.76 | 30.61 | | PBDT | 36.14 | 30.16 | 19.83 | 124.01 | 100.71 | 23.14 | | Depreciation | 3.97 | 4.22 | -5.92 | 15.91 | 16.34 | -2.63 | | PBT | 32.17 | 25.94 | 24.02 | 108.1 | 84.37 | 28.13 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 32.17 | 25.94 | 24.02 | 108.1 | 84.37 | 28.13 | | EO Income | 0 | 0 | - | 0 | 0 | - | | PBT after EO | 32.17 | 25.94 | 24.02 | 108.1 | 84.37 | 28.13 | | Taxation | 7.95 | 6.8 | 16.91 | 26.97 | 21.32 | 26.50 | | PAT | 24.22 | 19.14 | 26.54 | 81.13 | 63.05 | 28.68 | | Minority Interest (MI) | 0 | 0 | - | 0 | 0 | - | | Net profit | 24.22 | 19.14 | 26.54 | 81.13 | 63.05 | 28.68 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 24.22 | 19.14 | 26.54 | 81.13 | 63.05 | 28.68 | | EPS (Rs)* | 9.99 | 7.89 | 26.54 | 33.46 | 26.00 | 28.68 | | | * EPS is on current equity of Rs 24.25 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 |
|
| Shankara Building Products : Consolidated Segment Results | | | Quarter ended | Year ended |
|---|
| % of (Total) | 202403 | 202303 | Var.(%) | % of (Total) | 202403 | 202303 | Var.(%) |
|---|
| Sales | | Retail | 51.51 | 709.11 | 674.86 | 5.08 | 52.94 | 2,556.33 | 2,235.71 | 14.34 | | Channel & Enterprise | 48.49 | 667.44 | 535.16 | 24.72 | 47.06 | 2,272.11 | 1,794.01 | 26.65 | | Total Reported Sales | 100.00 | 1,376.55 | 1,210.02 | 13.76 | 100.00 | 4,828.44 | 4,029.72 | 19.82 | | Less: Inter segment revenues | | 0.00 | 0.00 | - | | 0.00 | 0.00 | - | | Net Sales | 100.00 | 1,376.55 | 1,210.02 | 13.76 | 100.00 | 4,828.44 | 4,029.72 | 19.82 | | PBIT | | Retail | 88.00 | 45.34 | 37.15 | 22.05 | 80.61 | 145.57 | 124.29 | 17.12 | | Channel & Enterprise | 12.00 | 6.18 | 5.53 | 11.75 | 19.39 | 35.02 | 19.62 | 78.49 | | Total PBIT | 100.00 | 51.52 | 42.68 | 20.71 | 100.00 | 180.59 | 143.91 | 25.49 | | Less : Interest | | 9.26 | 6.57 | 40.94 | | 32.34 | 24.76 | 30.61 | | Add: Other un-allcoable | | -10.09 | -10.17 | 0.79 | | -40.15 | -34.78 | -15.44 | | PBIT Margin(%) | | Retail | | 6.39 | 5.50 | 88.91 | | 5.69 | 5.56 | 13.52 | | Channel & Enterprise | | 0.93 | 1.03 | -10.74 | | 1.54 | 1.09 | 44.77 | | PBT | 100.00 | 32.17 | 25.94 | 24.02 | 100.00 | 108.10 | 84.37 | 28.13 |
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