ENGINEERS INDIA Announces Quarterly Results (1QFY21); Net Profit Down 61.3%

Thu, 10 Sep

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

ENGINEERS INDIA Quarterly Financials

Year-on-Year Performance:

• The company's operating income during the quarter fell 36.3% on a year-on-year (YoY) basis. The expenses were down by 25.0% YoY during the same period.
• The company's operating profit declined by 84.6% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 4.6% in 1QFY21 as against 19.0% in 1QFY20.
• Depreciation charges declined by 6.9% and finance costs increased by 37.8% YoY, respectively.
• Other income declined by 14.8% YoY during the quarter.
• Net profit for the quarter declined by 61.3% YoY. Net profit margins during the quarter declined from 15.6% in 1QFY20 to 9.3% in 1QFY21.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 45.2% on a quarter-on-quarter (QoQ) basis. The expenses were down by 39.9% QoQ during the same period.
• The company's operating profit declined by 80.7% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 4.6% in 1QFY21 as against 13.0% in 4QFY20.
• Net profit for the quarter declined by 62.9% QoQ, while net profit margins declined from 14.1% in 4QFY20 to 9.3% in 1QFY21.

To see how ENGINEERS INDIA has performed over the last eight quarters,please visit here.

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ENGINEERS INDIA Share Price Performance

Over the last one year,ENGINEERS INDIA share price has moved down from Rs 110.5 to Rs 65.5, registering a Loss of Rs 45.1 or around 40.8%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 13,816.2 (up 1.2%). Over the last one year it has moved down from 17,257.9 to 13,816.2, a gain of 3,442 points (down 19.9%).

Overall, the S&P BSE SENSEX is up 3.5% over the year.

Current Valuations

At the current price of Rs 65.5, the price to earnings (P/E) ratio of ENGINEERS INDIA stands at 12.5 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 1.9 times.