• Value of production for the quarter was up by 3% to Rs 332.60 crore even while the revenue for the period was down by 3% to Rs 337 crore. Sales higher than value of production for the period reflects liquidation of earlier period inventory.
• Downside in revenue was largely as both pumps and valves register lower sales. Sales was pumps was down by 2% to Rs 281.50 crore (or 78% of sales) and that of valves was down by 7% to Rs 55.80 crore (or 15% of sales). The others was up by 26% to Rs 23.50 crore.
• PBIT was up by 31% to Rs 54.70 crore and the upside is largely due to pumps. Despite lower sales, the segment profit of pumps was up by 35% to Rs 50 crore as its segment margin expand by sharp 480 bps to 17.8%. The segment profit of valves was down by 13% to Rs 5.50 crore hit by lower sales as well as 60 bps contraction in operating margin to 9.9%. The others registered a segment loss of Rs 0.80 crore compared to a loss of Rs 1.50 crore in the corresponding previous period.

Yearly performance

Sales was up by 18% to Rs 1293.90 crore. But with OPM contract by 10 bps to 11.6%, the operating profit was up by 17% to Rs 150.30 crore. With other income stand higher by 16% to Rs 23.10 crore, the PBIDT was up by 17% to Rs 173.40 crore. After accounting for higher interest cost and higher depreciation, the PBT before EO was up by 17% to Rs 122.40 crore. The EO item for the period was an income of Rs 12.70 crore (against nil), a profit on sale of Mumbai office. Thus inflated, the PBT after EO was up by 29% to Rs 135.10 crore. The taxation was up by 6% to Rs 39.80 crore and thus the PAT was eventually up by 42% to Rs 95.30 crore. The share of profit from associate was up by 26% to Rs 5.40 crore and thus the net-profit was up by 41% to Rs 100.70 crore.

Other developments

Board of Directors have recommended Rs 8.00 per share of Rs 10 each (80%) on 3,48,07,844 equity shares of Rs.10 each fully paid up as dividend for the year ended 31st December, 2019.