X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Tata Tea 3QFY01 net declines 24% - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Jan 22, 2001

    Tata Tea 3QFY01 net declines 24%

    Tata Tea Limited has reported a steep 49% decline in its net profit to Rs 165 m in the quarter ended December 31, 2000. The decline in profits was on the back of a 14% decline in net sales turnover to Rs 2,016 m.

    (Rs m) 3QFY00 3QFY01 Change 9m FY00 9m FY01 Change
    Net Sales Turnover 2,330 2,016 -13.5% 6,778 6,216 -8.3%
    Other income 125 5 -96.4% 258 373 44.3%
    Profit after Tax/(Loss) 325 165 -49.4% 1,048 912 -13.0%
    Profit after Tax            
    (excluding extraordinary income) 218 165 -24.4% 893 634 -29.0%
    Net profit margin (%) 9.3% 8.2%   13.2% 10.2%  
    No. of Shares (eoy) (m) 48.6 56.2   48.6 56.2  
    Diluted no. of shares 56.2 56.2   56.2 56.2  
    Earnings per share*       21.2 15.0  
    *(annualised)            
    Current P/e ratio         18.3  

    However, other income in 3QFY01 does not include extraordinary income unlike the corresponding quarter in the previous year (3QFY00). Other income in 3QFY00 represented Rs 125 m as profit arising from sale of ACC Shares. If we exclude this extraordinary income, then the net profit actually declined by 24% during 3QFY01 (and not 49%).

    On a nine month consolidated basis, the company’s turnover declined by 8% and the net profit by 29% (excluding extraordinary income). The decline in turnover has come in the wake of declining tea prices, as well as a downturn in demand from Russia.

    The company’s increased debt burden has resulted in a jump in interest costs, thus adversely affecting the bottomline.

    The Tata Tea stock closed at Rs 275, P/e multiple of 18.3 times its annualised nine months FY01. The stock has seen an upsurge in the last couple of months as tea prices were beginning to harden. In light of the above results however, a decline in the short term cannot be ruled out.

     

     

    Equitymaster requests your view! Post a comment on "Tata Tea 3QFY01 net declines 24% ". Click here!

      
     

    More Views on News

    GSK Consumer: On the Recovery Path (Quarterly Results Update - Detailed)

    Jun 20, 2017

    While GSK consumer reported muted revenue growth, volumes are seen to be recovering.

    A Little Gem in the FMCG Sector (Sector Info)

    Jul 18, 2016

    Will investing in Bajaj Corp yield high returns on account of a rural revival in sight?

    Parag Milk Foods Limited (IPO)

    May 4, 2016

    Should you subscribe to Parag Milk Foods' initial public offering?

    More Views on News

    Most Popular

    Demonetisation Barely Made Any Difference to Tax Collections(Vivek Kaul's Diary)

    Aug 7, 2017

    The data tells us quite a different story from the one the government is trying to project.

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    Should You Invest In Bharat-22 ETF? Know Here...(Outside View)

    Aug 8, 2017

    Bharat-22 is one of the most diverse ETFs offered so far by the Government. Know here if you should invest...

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    7 Financial Gifts For Your Sister This Raksha Bandhan(Outside View)

    Aug 7, 2017

    Raksha Bandhan signifies the brother-sister bond. Here are 7 thoughtful financial gifts for sisters...

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    TATA GLOBAL BEV. SHARE PRICE


    Aug 18, 2017 (Close)

    TRACK TATA GLOBAL BEV.

    • Track your investment in TATA GLOBAL BEV. with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
    • Add To MyStocks

    MORE ON TATA GLOBAL BEV.

    TATA GLOBAL BEV. 5-YR ANALYSIS

    Detailed Financial Information With Charts

    COMPARE TATA GLOBAL BEV. WITH

    MARKET STATS