Goodlass: A mixed performance - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


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

Goodlass: A mixed performance

Jul 31, 2001

Goodlass Nerolac, the paint major, has reported a 6% drop in sales to Rs 1,243 m for the first quarter ended 30th June 2001. The slow down in the economy and continued sluggishness in both the commercial vehicles and passenger car sales seems to have affected topline growth in the first quarter.

(Rs m) 1QFY01 1QFY02 Change
Sales 1,323 1,243 -6.0%
Other Income 18 32 76.2%
Expenditure 1,213 1,144 -5.7%
Operating Profit (EBDIT) 109 99 -9.6%
Operating Profit Margin (%) 8.3% 8.0%  
Interest 18 11 -38.9%
Depreciation 35 55 57.1%
Profit before Tax 75 65 -13.0%
Tax 22 20  
Profit after Tax/(Loss) 52 45 -13.1%
Net profit margin (%) 3.9% 3.6%  
No. of Shares (eoy) (m) 15.3 15.3  
Diluted number of shares 15.3 15.3  
Earnings per share (Rs) 13.6 11.8  

Other income is up sharply by 76.2% probably on account of higher lease rentals from the colour tinting machines, which the company has been aggressively expanding over the last two years. Though operating expenses have come down by 5.7%, it has failed to stem a fall in operating profit. However, raw material costs as a percentage of sales have come down from 71.2% in 1QFY01 to 60.6% in 1QFY02.

A sharp fall in interest outflow in 1QFY02 has prevented the bottomline from a huge drop. Net profit has fallen by 13.1% to Rs 45 m.

The scrip is currently trading at Rs 76 at a P/E multiple of 6.4x the annualised 1QFY02 earnings. With automobile demand expected to pick up in the second half coupled with a good monsoon, paint demand could potentially show progress towards the end of the year.

Equitymaster requests your view! Post a comment on "Goodlass: A mixed performance". Click here!


More Views on News

KANSAI NEROLAC Announces Quarterly Results (1QFY21); Net Profit Down 71.1% (Quarterly Result Update)

Aug 21, 2020 | Updated on Aug 21, 2020

For the quarter ended June 2020, KANSAI NEROLAC has posted a net profit of Rs 427 m (down 71.1% YoY). Sales on the other hand came in at Rs 6 bn (down 59.1% YoY). Read on for a complete analysis of KANSAI NEROLAC's quarterly results.

KANSAI NEROLAC Announces Quarterly Results (4QFY20); Net Profit Down 23.0% (Quarterly Result Update)

May 7, 2020 | Updated on May 7, 2020

For the quarter ended March 2020, KANSAI NEROLAC has posted a net profit of Rs 715 m (down 23.0% YoY). Sales on the other hand came in at Rs 10 bn (down 13.5% YoY). Read on for a complete analysis of KANSAI NEROLAC's quarterly results.

KANSAI NEROLAC 2018-19 Annual Report Analysis (Annual Result Update)

May 30, 2019 | Updated on May 30, 2019

Here's an analysis of the annual report of KANSAI NEROLAC for 2018-19. It includes a full income statement, balance sheet and cash flow analysis of KANSAI NEROLAC. Also includes updates on the valuation of KANSAI NEROLAC.

More Views on News

Most Popular

How the 8-Year Cycle Can Help Identify Multibaggers (Fast Profits Daily)

Sep 11, 2020

This is how you can apply the greed and fear cycle in the market to pick stocks.

Why We Picked This Small-cap Stock for Our Hidden Treasure Subscribers (Profit Hunter)

Sep 17, 2020

This leading household brand will profit big time in a post covid world.

This Could Be the Best September for Auto Stocks (Profit Hunter)

Sep 11, 2020

Here's why I think this month could be a great for auto stocks.

What Do the Charts Say About Buying Smallcaps Now? (Fast Profits Daily)

Sep 18, 2020

Everyone seems to be excited about buying smallcaps now...but is it the right thing to do? What do the charts tell us? Find out in this video...


Covid-19 Proof
Multibagger Stocks

Covid19 Proof Multibaggers
Get this special report, authored by Equitymaster's top analysts now!
We will never sell or rent your email id.
Please read our Terms


Sep 22, 2020 (Close)


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