ALEMBIC LTD Announces Quarterly Results (1QFY21); Net Profit Up 3.5%

Mon, 10 Aug

ALEMBIC LTD has announced its results for the quarter ended June 2020. Here is a detailed performance review of the same:

ALEMBIC LTD Quarterly Financials

No. of Mths Qtr. Ending		3 Jun-19*	3 Mar-20*	3 Jun-20*	QoQ Change	YoY Change
Net Sales	Rs m	260	114	131	15.3%	-49.7%
Other income	Rs m	15	573	28	-95.1%	87.3%
Turnover	Rs m	275	687	159	-76.8%	-42.2%
Expenses	Rs m	241	121	124	3.0%	-48.5%
Gross profit	Rs m	19	-7	7		-63.9%
Depreciation	Rs m	7	9	9	3.3%	34.8%
Interest	Rs m	1	1	1	-25.0%	-14.3%
Profit before tax	Rs m	27	556	25	-95.5%	-5.3%
Tax	Rs m	6	2	4	168.8%	-32.8%
Profit after tax	Rs m	20	555	21	-96.2%	3.5%
Gross profit margin	%	7.3	-6.1	5.3
Effective tax rate	%	24.2	0.3	17.1
Net profit margin	%	7.3	80.8	13.1

Year-on-Year Performance:

• The company's operating income during the quarter fell 49.7% on a year-on-year (YoY) basis. The expenses were down by 48.5% YoY during the same period.
• The company's operating profit declined by 63.9% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 5.3% in 1QFY21 as against 7.3% in 1QFY20.
• Depreciation charges increased by 34.8% and finance costs declined by 14.3% YoY, respectively.
• Other income increased by 87.3% YoY during the quarter.
• Net profit for the quarter increased by 3.5% YoY. Net profit margins during the quarter increased from 7.3% in 1QFY20 to 13.1% in 1QFY21.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 15.3% on a quarter-on-quarter (QoQ) basis. The expenses were up by 3.0% QoQ during the same period.
• The company's operating profit declined by 200.0% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 5.3% in 1QFY21 as against 6.1% in 4QFY20.
• Net profit for the quarter declined by 96.2% QoQ, while net profit margins declined from 80.9% in 4QFY20 to 13.1% in 1QFY21.

To see how ALEMBIC LTD has performed over the last eight quarters,please visit here.

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ALEMBIC LTD Share Price Performance

Over the last one year,ALEMBIC LTD share price has moved up from Rs 37.1 to Rs 89.9, registering a Gain of Rs 52.7 or around 142.1%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 19,338.4 (up 3.1%). Over the last one year it has moved up from 12,693.7 to 19,338.4, a gain of 6,645 points (up 52.3%).

Overall, the S&P BSE SENSEX is up 4.6% over the year.

Current Valuations

At the current price of Rs 89.9, the price to earnings (P/E) ratio of ALEMBIC LTD stands at 53.1 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 4.6 times.