HOUSING DEV. INFRA Announces Quarterly Results (3QFY19); Net Profit Up 4.0%

Wed, 20 Feb

HOUSING DEV. INFRA has announced its results for the quarter ended December 2018. Here is a detailed performance review of the same:

HOUSING DEV. INFRA Quarterly Financials

No. of Mths Qtr. Ending		3 Dec-17*	3 Sep-18*	3 Dec-18*	QoQ Change	YoY Change
Net Sales	Rs m	991	3,000	2,221	-26.0%	124.1%
Other income	Rs m	18	41	39	-5.1%	113.2%
Turnover	Rs m	1,009	3,041	2,259	-25.7%	123.9%
Expenses	Rs m	-222	1,616	1,252	-22.6%
Gross profit	Rs m	1,213	1,384	969	-30.0%	-20.1%
Depreciation	Rs m	17	14	11	-23.2%	-36.9%
Interest	Rs m	946	740	759	2.7%	-19.7%
Profit before tax	Rs m	269	672	238	-64.5%	-11.3%
Tax	Rs m	79	127	41	-67.8%	-48.0%
Profit after tax	Rs m	190	544	197	-63.8%	4.0%
Gross profit margin	%	122.4	46.1	43.6
Effective tax rate	%	29.4	19.0	17.2
Net profit margin	%	18.8	17.9	8.7

Year-on-Year Performance:

• The company's operating income during the quarter grew 124.1% on a year-on-year (YoY) basis. The expenses were down by 664.8% YoY during the same period.
• The company's operating profit declined by 20.1% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 43.6% in 3QFY19 as against 122.4% in 3QFY18.
• Depreciation charges declined by 36.9% and finance costs declined by 19.7% YoY, respectively.
• Other income increased by 113.2% YoY during the quarter.
• Net profit for the quarter increased by 4.0% YoY. Net profit margins during the quarter declined from 18.8% in 3QFY18 to 8.7% in 3QFY19.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 26.0% on a quarter-on-quarter (QoQ) basis. The expenses were down by 22.6% QoQ during the same period.
• The company's operating profit declined by 30.0% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 43.6% in 3QFY19 as against 46.1% in 2QFY18.
• Net profit for the quarter declined by 63.8% QoQ, while net profit margins declined from 17.9% in 2QFY18 to 8.7% in 3QFY19.

To see how HOUSING DEV. INFRA has performed over the last eight quarters, please visit here.

HOUSING DEV. INFRA Share Price Performance

Over the last one year, HOUSING DEV. INFRA share price has moved up from Rs 51.5 to Rs 22.6, registering a Loss of Rs 28.9 or around 56.1%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 1,789.3 (up 0.5%). Over the last one year it has moved down from 2,422.1 to 1,789.3, a gain of 633 points (down 26.1%).

Overall, the S&P BSE SENSEX is up 5.5% over the year.

Current Valuations

At the current price of Rs 22.6, the price to earnings (P/E) ratio of HOUSING DEV. INFRA stands at 8.8 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 0.1 times.