Banco Products registered poor earnings on a consolidated basis for the first quarter ended June 2014. While the company's topline registered moderate gains, bottomline fell by 13% for both the quarter. OPM too witnessed a drop. Sharp drop in other income too affected the bottomline.
Quarterly Performance
For the first quarter ended June 2014, the company has reported 4% rise in the total income from operations at Rs 323.12 crore.
Margins witnessed substantial drop during the quarter by dropping 200 bps at 12.5%. For the quarter, the raw material cost as % of sales net of stock adjustments rose by 380 bps at 56.8%. The employee cost rose 30 bps to 11.8% during the quarter. Other expenses fell by 250 bps to 19.7%. Resultantly, operating profit fell by 11% to Rs 40.3 crore on a y-o-y basis.
With 50% drop in other income at Rs 2.68 crore, PBIDT decreased by 15% to Rs 43 crore. Interest cost slipped by 27% to Rs 2.75 crore. Depreciation cost fell 12% at Rs 6.99 crore. Thus, PBT decreased by 14% to Rs 33.22 crore. After considering 80 bps decrease in the effective tax rate at 27.2% (17% drop in tax provison), Net Profit fell by 13% to Rs 24.19 crore.
For the year ended March 2014, the company had reported 13% rise in the total income from operations at Rs 1161.77 crore vis a vis last year's Rs 1024 crore on a consolidated basis. Net Profit rose by 47% to Rs 89.81 crore.
- The promoters' share in the total shareholding stood unchanged at 67.88% in June 14. Promoters have pledged nil shares of the company.
- The company announced its earning on 09 August 201. The stock is trading around Rs 123 currently.