Capitaline

Results 15-Aug-22

Analysis

Time Technoplast

Healthy performance driven by good demand in Industrial packaging and composite cylinder business

Time Technoplast consolidated net sales increased 25.20% to Rs 944.47 crore in Q1FY23 compared to Q1FY22. Sales of Composite Products segment has gone up 36% to Rs 312.15 crore (accounting for 33% of total sales). Sales of Polymer Products segment has gone up 20% to Rs 632.32 crore (accounting for 67% of total sales).

Profit before interest, tax and other unallocable items (PBIT) has jumped 34% to Rs 82.93 crore. PBIT of Composite Products segment rose 50% to Rs 29.72 crore (accounting for 36% of total PBIT). PBIT of Polymer Products segment rose 26% to Rs 53.21 crore (accounting for 64% of total PBIT).

PBIT margin of Composite Products segment roe from 8.66% to 9.52%. PBIT margin of Polymer Products segment rose from 8.03% to 8.42%. Overall PBIT margin increased from 8.22% to 8.78%.

Operating profit margin has declined from 13.33% to 13.09%, leading to 22.95% rise in operating profit to Rs 123.60 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 69.80% to 72.03%. Employee cost decreased from 5.71% to 5.12%. Other expenses fell from 10.98% to 9.66%.

Other income rose 51.35% to Rs 0.56 crore. PBIDT rose 23.05% to Rs 124.16 crore. Provision for interest fell 1.24% to Rs 23.09 crore.

PBDT rose 30.38% to Rs 101.07 crore. Provision for depreciation rose 5.64% to Rs 40.67 crore.

Profit before tax grew 54.79% to Rs 60.40 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 15.16 crore, compared to Rs 9.78 crore. Effective tax rate was 25.10% compared to 25.06%.

Minority interest increased 18.06% to Rs 0.85 crore. Net profit attributable to owners of the company increased 55.65% to Rs 44.39 crore.

Promoters’ stake was 51.33% as of 30 June 2022 ,compared to 51.33% as of 30 June 2021 . Promoters pledged stake was 8.18% as of 30 June 2022 ,compared to 8.18% as of 30 June 2021 .

Management Comment

Mr. Bharat Kumar Vageria - Managing Director

"We are pleased to inform that the Company has started Fiscal 23 on an encouraging note with a healthy performance driven by good demand in Industrial packaging and robust growth in composite cylinder business. Q1 Revenue and PAT are up by 25% and 56% year-on-year led by higher utilization of capacities. This is despite global uncertainties and continued inflationary pressure in key raw materials. The company continues to receive overwhelming response for its Type-IV Composite cylinders for CNG Cascades. In addition, during the quarter, NED Energy Limited, a subsidiary of Time Technoplast Limited has signed a Memorandum of Understanding (MOU) with TESLA POWER USA INC for orders worth ?100 crores (approx.) to supply VRLA Batteries of different sizes for applications across Power, Solar, UPS etc. With strong outlook on Indian pharmaceutical and chemical business driven by migration of chemical companies out of China coupled with a good demand for CNG cascades, we expect to continue our growth momentum for the rest of the year."

Full year results analysis

Net sales of Time Technoplast has increased 21.46% to Rs 3649.84 crore. Sales of Composite Products segment has gone up 27.09% to Rs 1,137.56 crore (accounting for 31.17% of total sales). Sales of Polymer Products segment has gone up 19.07% to Rs 2,512.28 crore (accounting for 68.83% of total sales).

Profit before interest, tax and other unallocable items (PBIT) has jumped 47.54% to Rs 348.40 crore. PBIT of Composite Products segment rose 51.91% to Rs 112.00 crore (accounting for 32.15% of total PBIT). PBIT of Polymer Products segment rose 45.56% to Rs 236.40 crore (accounting for 67.85% of total PBIT).

PBIT margin of Composite Products segment rose from 8.24% to 9.85%. PBIT margin of Polymer Products segment rose from 7.70% to 9.41%. Overall PBIT margin rose from 7.86% to 9.55%.

Operating profit margin has jumped from 12.88% to 13.86%, leading to 30.65% rise in operating profit to Rs 505.80 crore. Raw material cost as a % of total sales (net of stock adjustments) increased from 69.88% to 70.75%. Employee cost decreased from 5.32% to 4.98%. Other expenses fell from 11.87% to 10.48%.

Other income fell 22.51% to Rs 2.96 crore. PBIDT rose 30.13% to Rs 508.76 crore. Provision for interest fell 5.88% to Rs 92 crore. Loan funds rose to Rs 905.90 crore as of 31 March 2022 from Rs 863.13 crore as of 31 March 2021. Inventories rose to Rs 907.69 crore as of 31 March 2022 from Rs 759.85 crore as of 31 March 2021. Sundry debtors were higher at Rs 866.87 crore as of 31 March 2022 compared to Rs 798.28 crore as of 31 March 2021. Cash and bank balance rose to Rs 94.12 crore as of 31 March 2022 from Rs 86.99 crore as of 31 March 2021.

PBDT rose 42.14% to Rs 416.76 crore. Provision for depreciation rose 4.24% to Rs 157.4 crore. Fixed assets increased to Rs 1,383.78 crore as of 31 March 2022 from Rs 1,321.07 crore as of 31 March 2021. Intangible assets declined from Rs 0.24 crore to Rs 0.07 crore.

Profit before tax grew 82.38% to Rs 259.36 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 67.16 crore, compared to Rs 36.38 crore. Effective tax rate was 25.89% compared to 25.58%.

Minority interest increased 74.17% to Rs 4.18 crore. Net profit attributable to owners of the company increased 81.78% to Rs 188.02 crore.

Equity capital stood at Rs 22.61 crore as of 31 March 2022 to Rs 22.61 crore as of 31 March 2021. Per share face Value remained same at Rs 1.00.

Promoters’ stake was 51.33% as of 31 March 2022 ,compared to 51.33% as of 31 March 2021 . Promoters pledged stake was 8.18% as of 31 March 2022 ,compared to 8.22% as of 31 March 2021 .

The scrip is currently trading at Rs 105

Time Technoplast : Consolidated Results
Particulars	2206 (03)	2106 (03)	Var.(%)	2203 (12)	2103 (12)	Var.(%)
Net Sales	944.47	754.36	25	3,649.84	3,004.92	21
OPM (%)	13.1	13.3		13.9	12.9
OP	123.60	100.53	23	505.8	387.14	31
Other Inc.	0.56	0.37	51	2.96	3.82	-23
PBIDT	124.16	100.90	23	508.76	390.96	30
Interest	23.09	23.38	-1	92	97.75	-6
PBDT	101.07	77.52	30	416.76	293.21	42
Depreciation	40.67	38.50	6	157.4	151	4
PBT	60.40	39.02	55	259.36	142.21	82
EO Income	0.00	0.00		0	0
PBT after EO	60.40	39.02	55	259.36	142.21	82
Taxation	15.16	9.78	55	67.16	36.38	85
PAT	45.24	29.24	55	192.20	105.83	82
Minority Interest (MI)	0.85	0.72	PL	4.18	2.4	74
Net profit	44.39	28.52	56	188.02	103.43	82
EPS (Rs)*	#	#		8.3	4.6
Notes
* EPS is on current equity of Rs 22.61 crore, Face value of Rs 1, Excluding extraordinary items.
# EPS is not annualised
bps : Basis points
Figures in Rs crore
Source: Capitaline Corporate Database

Time Technoplast : Consolidated Segment Results
	% of (Total)	2206 (03)	2106 (03)	Var.(%)	% of (Total)	2203 (12)	2103 (12)	Var.(%)
Sales
Composite Products	33	312.15	229.36	36	31	1,137.56	895.06	27
Polymer Products	67	632.32	525.00	20	69	2,512.28	2,109.86	19
Total Reported Sales	100	944.47	754.36	25	100	3,649.84	3,004.92	21
Less: Inter segment revenues		0	0			0	0	-
Net Sales		944.47	754.36	25		3,649.84	3,004.92	21
PBIT
Composite Products	36	29.72	19.86	50	32	112	73.73	52
Polymer Products	64	53.21	42.17	26	68	236.4	162.41	46
Total PBIT	100	82.93	62.03	34	100	348.4	236.14	48
Less : Interest		23.09	23.38	-1		92	97.75	-6
Add: Other un-allcoable		0.56	0.37	51		2.96	3.82	-23
PBT		60.4	39.02	55		259.36	142.21	82

Previous News

Time Techno jumps on bagging order from Indraprastha Gas
( Hot Pursuit - 12-Apr-23 10:18 )

Time Technoplast schedules board meeting
( Corporate News - 02-Nov-22 17:09 )

Time Technoplast schedules AGM
( Corporate News - 18-Aug-22 19:20 )

Time Techno jumps after order win
( Hot Pursuit - 31-Dec-21 09:41 )

Time Technoplast consolidated net profit declines 10.49% in the December 2019 quarter
( Results - Announcements 14-Feb-20 08:16 )

Time Technoplast
( Analyst Meet / AGM - Conference Call 14-Aug-19 15:43 )

AAVAS Financiers Ltd leads losers in 'A' group
( Hot Pursuit - 18-Aug-21 15:00 )

Time Technoplast gains on bagging Rs 180-cr order from IOCL
( Hot Pursuit - 04-Mar-22 13:39 )

Inox Wind Ltd leads gainers in 'A' group
( Hot Pursuit - 15-Jan-20 12:00 )

Time Technoplast schedules board meeting
( Corporate News - 22-Jan-20 10:52 )

Time Technoplast to table results
( Corporate News - 21-Jul-18 11:35 )