BINANI INDUSTRIES Announces Quarterly Results (4QFY18); Net Profit Down 144.1%

Tue, 19 Jun

BINANI INDUSTRIES has announced its results for the quarter ended March 2018. Here is a detailed performance review of the same:

BINANI INDUSTRIES Quarterly Financials

No. of Mths Qtr. Ending		3 Mar-17*	3 Dec-17*	3 Mar-18*	QoQ Change	YoY Change
Net Sales	Rs m	98	35	-4	-111.0%	-103.9%
Other income	Rs m	177	15	9	-35.9%	-94.7%
Turnover	Rs m	275	49	6	-88.8%	-98.0%
Expenses	Rs m	144	-77	-91		-162.7%
Gross profit	Rs m	-47	102	84	-17.2%
Depreciation	Rs m	5	2	2	0.0%	-54.3%
Interest	Rs m	0	126	131	3.6%	0.0%
Profit before tax	Rs m	126	-12	-40		-131.4%
Tax	Rs m	36	0	0	0.0%	-100.0%
Profit after tax	Rs m	90	-12	-40		-144.1%
Gross profit margin	%	-47.5	294.5	-2,213.2
Effective tax rate	%	28.8	0.0	0.0
Net profit margin	%	32.6	-24.9	-718.2

Year-on-Year Performance:

• The company's operating income during the quarter fell 103.9% on a year-on-year (YoY) basis. The expenses were down by 162.7% YoY during the same period.
• The company's operating profit declined by 280.9% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 2213.2% in 4QFY18 as against 47.5% in 4QFY17.
• Depreciation charges and finance costs declined by 54.3% YoY and 0.0% YoY, respectively.
• Other income declined by 94.7% YoY during the quarter.
• Net profit for the quarter declined by 144.1% YoY. Net profit margins during the quarter declined from 32.6% in 4QFY17 to 718.2% in 4QFY18.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 111.0% on a quarter-on-quarter (QoQ) basis. The expenses were up by 17.2% QoQ during the same period.
• The company's operating profit declined by 17.2% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 2213.2% in 4QFY18 as against 294.5% in 3QFY17.
• Net profit for the quarter increased by 223.8% QoQ, while net profit margins declined from 24.5% in 3QFY17 to 718.2% in 4QFY18.

To see how BINANI INDUSTRIES has performed over the last eight quarters, please visit here.

BINANI INDUSTRIES Share Price Performance

Over the last one year, BINANI INDUSTRIES share price has moved up from Rs 78.9 to Rs 89.7, registering a Gain of Rs 10.8 or around 13.6%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 12,938.1 (down 1.8%). Over the last one year it has moved up from 11,325.2 to 12,938.1, a gain of 1,612.9 points (up 14.2%).

Overall, the S&P BSE SENSEX is down 0.5% over the year.

Current Valuations

At the current price of Rs 89.7, the price to earnings (P/E) ratio of BINANI INDUSTRIES stands at NM times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at -0.2 times.