Capitaline

Results 28-Jul-21

Analysis

Foseco India

PBT up 365% in H1CY21

Quarter ended June 2021 compared with Quarter ended June 2020.

Foseco India standalone net sales increased 171.50% to Rs 75.07 crore. Operating profit margin of the company stood at 9.2% compared to negative of 16.8%. Raw material cost as a % of total sales (net of stock adjustments) increased from 51.67% to 55.81%. Purchase of finished goods cost rose from 1.84% to 2.78%. Employee cost decreased from 36.11% to 12.30%. Other expenses fell from 30.27% to 20.12%.

Operating profit was Rs 6.89 crore compared to loss of Rs 4.64 crore. Other income was up 32.75% to Rs 3.04 crore. Provision for interest remained nil. Provision for depreciation was down 4.14% to Rs 1.39 crore. Provision for tax was debit of Rs 2.23 crore, compared to credit of Rs 0.88 crore. Effective tax rate was 26.11% compared to 23.16%. Net profit stood at Rs 6.31 crore compared to loss of Rs 2.92 crore.

For year-to-date (YTD) results analysis

Net sales of Foseco India increased 63.69% to Rs 163.58 crore.

Operating profit margin has jumped from 3.69% to 11.90%, leading to 427.37% rise in operating profit to Rs 19.46 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 52.01% to 55.01%. Purchase of finished goods cost rose from 2.23% to 2.97%. Employee cost decreased from 18.29% to 11.19%. Other expenses fell from 23.60% to 19.09%.

Other income up 5.80% to Rs 3.83 crore. Provision for interest remained nil. Loan funds remained nil. Provision for depreciation down 4.48% to Rs 2.77 crore. Profit before tax grew 365.31% to Rs 20.52 crore. Provision for tax was expense of Rs 4.94 crore, compared to Rs 1.25 crore. Effective tax rate was 24.07% compared to 28.34%. Profit after tax rose 393.04% to Rs 15.58 crore.

Full year results analysis

Net sales (including other operating income) of Foseco India has declined 22.13% to Rs 251.15 crore. Operating profit margin has slumped from 14.27% to 8.28%, leading to 54.81% decline in operating profit to Rs 20.79 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 54.90% to 53.00%. Purchase of finished goods cost rose from 1.60% to 2.26%. Employee cost increased from 10.42% to 14.31%. Other expenses rose from 19.02% to 21.98%.

Other income fell 20.49% to Rs 6.21 crore. Provision for interest remained nil. Loan funds remained nil. Inventories declined from Rs 19.40 crore as of 31 December 2019 to Rs 12.51 crore as of 31 December 2020. Sundry debtors were lower at Rs 64.91 crore as of 31 December 2020 compared to Rs 72.85 crore as of 31 December 2019. Cash and bank balance rose to Rs 137.01 crore as of 31 December 2020 from Rs 111.85 crore as of 31 December 2019.

Provision for depreciation rose 40.71% to Rs 5.91 crore. Fixed assets declined from Rs 35.94 crore as of 31 December 2019 to Rs 35.62 crore as of 31 December 2020.

Profit before tax down 57.50% to Rs 21.09 crore. Provision for tax was expense of Rs 5.65 crore, compared to Rs 15.09 crore. Effective tax rate was 26.79% compared to 30.41%.

Profit after tax fell 55.29% to Rs 15.44 crore.

Promoters’ stake was 74.98% as of 31 December 2020 ,compared to 74.98% as of 31 December 2019 .

Cash flow from operating activities decreased to Rs 30.29 crore for year ended December 2020 from Rs 46.84 crore for year ended December 2019. Cash flow used in acquiring fixed assets during the year ended December 2020 stood at Rs 4.42 crore, compared to Rs 13.65 crore during the year ended December 2019.

The scrip is currently trading at Rs 1639.

Foseco India : Standalone Results
Particulars	2106 (03)	2006 (03)	Var.(%)	2106 (06)	2006 (06)	Var.(%)	2012 (12)	1912 (12)	Var.(%)
Net Sales	75.07	27.65	172	163.58	99.93	64	251.15	322.52	-22
OPM (%)	9.2	-16.8		11.9	3.7		8.3	14.3
OP	6.89	-4.64	LP	19.46	3.69	427	20.79	46.01	-55
Other Inc.	3.04	2.29	33	3.83	3.62	6	6.21	7.81	-20
PBIDT	9.93	-2.35	LP	23.29	7.31	219	27	53.82	-50
Interest	0	0	-	0	0	-	0	0	-
PBDT	9.93	-2.35	LP	23.29	7.31	219	27	53.82	-50
Depreciation	1.39	1.45	-4	2.77	2.9	-4	5.91	4.2	41
PBT	8.54	-3.8	LP	20.52	4.41	365	21.09	49.62	-58
Taxation	2.23	-0.88	PL	5.32	1.25	295	5.65	15.09	-63
PAT	6.31	-2.92	LP	15.20	3.16	393	15.44	34.53	-55
PPA	0	0		-0.38	0		0	0
Net Profit	6.31	-2.92	LP	15.58	3.16	393	15.44	34.53	-55
EPS (Rs)*	#	#		#	#		24.2	54.0
Notes
* EPS is on current equity of Rs 6.39 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

Previous News

Foseco India standalone net profit rises 161.93% in the June 2023 quarter
( Results - Announcements 28-Jul-23 07:33 )

Foseco India to convene board meeting
( Corporate News - 02-Jan-21 09:55 )

Board of Foseco India recommends Interim Dividend
( Corporate News - 23-Oct-20 09:58 )

Foseco India to convene board meeting
( Corporate News - 01-Jul-24 09:54 )

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( Results - Analysis 28-Apr-17 10:17 )

Foseco India
( Results - Analysis 22-Oct-20 21:16 )

Foseco India
( Analyst Meet / AGM - AGM 28-Apr-17 12:18 )

Foseco India standalone net profit rises 11.99% in the December 2020 quarter
( Results - Announcements 11-Feb-21 08:21 )

Foseco India schedules AGM
( Corporate News - 12-Apr-22 15:03 )

Foseco India
( Results - Analysis 14-Nov-14 16:29 )

Foseco India
( Results - Analysis 13-Nov-17 10:55 )