ARCHIES LTD Announces Quarterly Results (1QFY20); Net Profit Down 392.1%

Fri, 16 Aug

ARCHIES LTD has announced its results for the quarter ended June 2019. Here is a detailed performance review of the same:

ARCHIES LTD Quarterly Financials

No. of Mths Qtr. Ending		3 Jun-18*	3 Mar-19*	3 Jun-19*	QoQ Change	YoY Change
Net Sales	Rs m	343	404	313	-22.5%	-8.6%
Other income	Rs m	4	6	5	-28.8%	9.1%
Turnover	Rs m	347	411	318	-22.6%	-8.4%
Expenses	Rs m	341	403	288	-28.6%	-15.5%
Gross profit	Rs m	2	1	25	2488.8%	1149.8%
Depreciation	Rs m	9	9	57	514.4%	547.4%
Interest	Rs m	5	6	7	10.2%	37.0%
Profit before tax	Rs m	-8	-8	-34
Tax	Rs m	-3	-5	-11
Profit after tax	Rs m	-5	-3	-23
Gross profit margin	%	0.6	0.2	8.1
Effective tax rate	%	39.5	58.5	31.7
Net profit margin	%	-1.4	-0.8	-7.3

Year-on-Year Performance:

• The company's operating income during the quarter fell 8.6% on a year-on-year (YoY) basis. The expenses were down by 15.5% YoY during the same period.
• The company's operating profit increased by 1149.8% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 8.1% in 1QFY20 as against 0.6% in 1QFY19.
• Depreciation charges increased by 547.4% and finance costs increased by 37.0% YoY, respectively.
• Other income increased by 9.1% YoY during the quarter.
• Net profit for the quarter declined by 392.1% YoY. Net profit margins during the quarter declined from -1.4% in 1QFY19 to -7.3% in 1QFY20.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 22.5% on a quarter-on-quarter (QoQ) basis. The expenses were down by 28.6% QoQ during the same period.
• The company's operating profit increased by 2488.8% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 8.1% in 1QFY20 as against 0.2% in 4QFY19.
• Net profit for the quarter declined by 568.5% QoQ, while net profit margins declined from -0.7% in 4QFY19 to -7.3% in 1QFY20.

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

ARCHIES LTD Share Price Performance

Over the last one year,ARCHIES LTD share price has moved down from Rs 28.3 to Rs 18.1, registering a Loss of Rs 10.2 or around 36.0%.

Meanwhile, the S&P BSE FMCG Index is trading at Rs 10,920.0 (down 0.2%). Over the last one year it has moved down from 12,256.5 to 10,920.0, a gain of 1,336 points (down 10.9%).

Overall, the S&P BSE SENSEX is down 1.9% over the year.

Current Valuations

At the current price of Rs 18.1, the price to book value (P/BV) ratio of ARCHIES LTD stands at 0.5 times.