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.
Bharat Forge: Hit by poor industrial activity - Views on News from Equitymaster
StockSelect
  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Bharat Forge: Hit by poor industrial activity
Feb 18, 2016

Bharat Forge has announced its December 2015 quarter results. The company has reported a 12% YoY and 15% YoY fall in sales and net profits respectively. Here is our analysis of the results.

Performance summary

  • Standalone topline for the quarter falls 12% YoY largely on account of a subdued exports performance and weakness in the industrial segment
  • Operating margins remain stable at 30.2%
  • Excluding the extraordinary expense in 3QFY16, bottomline falls by 13% YoY, in tandem with the decline in operating profits

Standalone performance snapshot

(Rs m) 3QFY15 3QFY16 Change 9mFY15 9mFY16 Change
Sales 11,978 10,520 -12.2% 33,242 32,974 -0.8%
Expenditure 8,355 7,348 -12.1% 23,539 23,126 -1.8%
Operating profit (EBDITA) 3,623 3,173 -12.4% 9,703 9,848 1.5%
Operating profit margin (%) 30.2% 30.2%   29.2% 29.9%  
Other income 191 231 20.9% 733 774 5.6%
Interest 264 226 -14.3% 894 662 -26.0%
Depreciation 687 674 -2.0% 2,008 1,970 -1.9%
Profit before tax 2,863 2,504 -12.5% 7,534 7,991 6.1%
Exceptional items - (42)   (41) (42)  
Tax 899 800 -11.0% 2,334 2,583 10.7%
Profit after tax/(loss) 1,963 1,662 -15.4% 5,158 5,365 4.0%
Net profit margin (%) 16.4% 15.8%   15.5% 16.3%  
No. of shares (m)       232.9 232.9  
Diluted earnings per share (Rs)*         32.1  
P/E ratio (x)*         24.6  

*On a trailing 12-month basis and excluding extraordinary items

To Read the Full Story, Subscribe or Sign In



DISCLOSURES UNDER SEBI (RESEARCH ANALYSTS) REGULATIONS, 2014
INTRODUCTION:
Equitymaster Agora Research Private Limited (hereinafter referred to as "Equitymaster"/"Company") was incorporated on October 25, 2007. Equitymaster is a joint venture between Quantum Information Services Private Limited (QIS) and Agora group. Equitymaster is a SEBI registered Research Analyst under the SEBI (Research Analysts) Regulations, 2014 with registration number INH000000537.

BUSINESS ACTIVITY:
An independent research initiative, Equitymaster is committed to providing honest and unbiased views, opinions and recommendations on various investment opportunities across asset classes.

DISCIPLINARY HISTORY:
There are no outstanding litigations against the Company, it subsidiaries and its Directors.

GENERAL TERMS AND CONDITIONS FOR RESEARCH REPORT:
For the terms and conditions for research reports click here.

DETAILS OF ASSOCIATES:
Details of Associates are available here.

DISCLOSURE WITH REGARDS TO OWNERSHIP AND MATERIAL CONFLICTS OF INTEREST:
  1. 'subject company' is a company on which a buy/sell/hold view or target price is given/changed in this Research Report
  2. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have any financial interest in the subject company.
  3. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have actual/beneficial ownership of one percent or more securities of the subject company at the end of the month immediately preceding the date of publication of the research report.
  4. Neither Equitymaster, it's Associates, Research Analyst or his/her relative have any other material conflict of interest at the time of publication of the research report.
DISCLOSURE WITH REGARDS TO RECEIPT OF COMPENSATION:
  1. Neither Equitymaster nor it's Associates have received any compensation from the subject company in the past twelve months.
  2. Neither Equitymaster nor it's Associates have managed or co-managed public offering of securities for the subject company in the past twelve months.
  3. Neither Equitymaster nor it's Associates have received any compensation for investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  4. Neither Equitymaster nor it's Associates have received any compensation for products or services other than investment banking or merchant banking or brokerage services from the subject company in the past twelve months.
  5. Neither Equitymaster nor it's Associates have received any compensation or other benefits from the subject company or third party in connection with the research report.
GENERAL DISCLOSURES:
  1. The Research Analyst has not served as an officer, director or employee of the subject company.
  2. Equitymaster or the Research Analyst has not been engaged in market making activity for the subject company.
Definitions of Terms Used:
  1. Buy recommendation: This means that the investor could consider buying the concerned stock at current market price keeping in mind the tenure and objective of the recommendation service.
  2. Hold recommendation: This means that the investor could consider holding on to the shares of the company until further update and not buy more of the stock at current market price.
  3. Buy at lower price: This means that the investor should wait for some correction in the market price so that the stock can be bought at more attractive valuations keeping in mind the tenure and the objective of the service.
  4. Sell recommendation: This means that the investor could consider selling the stock at current market price keeping in mind the objective of the recommendation service.
Feedback:
If you have any feedback or query or wish to report a matter, please do not hesitate to write to us.

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

BHARAT FORGE SHARE PRICE


Aug 23, 2017 01:47 PM

TRACK BHARAT FORGE

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

BHARAT FORGE 8-QTR ANALYSIS

Detailed Quarterly Results With Charts

COMPARE BHARAT FORGE WITH

MARKET STATS