KSB PUMPS Announces Quarterly Results (3QFY19); Net Profit Down 7.5%

Tue, 5 Mar

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

KSB PUMPS Quarterly Financials

No. of Mths Qtr. Ending		3 Dec-17*	3 Sep-18*	3 Dec-18*	QoQ Change	YoY Change
Net Sales	Rs m	3,282	2,804	3,466	23.6%	5.6%
Other income	Rs m	98	35	57	62.9%	-41.5%
Turnover	Rs m	3,379	2,839	3,523	24.1%	4.2%
Expenses	Rs m	2,859	2,483	2,987	20.3%	4.5%
Gross profit	Rs m	423	321	479	49.2%	13.2%
Depreciation	Rs m	85	98	104	6.1%	22.4%
Interest	Rs m	8	13	14	7.7%	86.7%
Profit before tax	Rs m	428	245	418	70.6%	-2.4%
Tax	Rs m	155	84	165	96.4%	6.7%
Profit after tax	Rs m	274	161	253	57.1%	-7.5%
Gross profit margin	%	12.9	11.4	13.8
Effective tax rate	%	36.1	34.3	39.5
Net profit margin	%	8.1	5.7	7.2

Year-on-Year Performance:

• The company's operating income during the quarter grew 5.6% on a year-on-year (YoY) basis. The expenses were up by 4.5% YoY during the same period.
• The company's operating profit increased by 13.2% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 13.8% in 3QFY19 as against 12.9% in 3QFY18.
• Depreciation charges increased by 22.4% and finance costs increased by 86.7% YoY, respectively.
• Other income declined by 41.5% YoY during the quarter.
• Net profit for the quarter declined by 7.5% YoY. Net profit margins during the quarter declined from 8.1% in 3QFY18 to 7.2% in 3QFY19.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 23.6% on a quarter-on-quarter (QoQ) basis. The expenses were up by 20.3% QoQ during the same period.
• The company's operating profit increased by 49.2% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 13.8% in 3QFY19 as against 11.4% in 2QFY18.
• Net profit for the quarter increased by 57.1% QoQ, while net profit margins increased from 5.7% in 2QFY18 to 7.2% in 3QFY19.

To see how KSB PUMPS has performed over the last eight quarters, please visit here.

KSB PUMPS Share Price Performance

Over the last one year, KSB PUMPS share price has moved up from Rs 789.2 to Rs 642.6, registering a Loss of Rs 146.7 or around 18.6%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 17,329.2 (up 0.0%). Over the last one year it has moved down from 18,839.3 to 17,329.2, a gain of 1,510 points (down 8.0%).

Overall, the S&P BSE SENSEX is up 5.9% over the year.

Current Valuations

At the current price of Rs 642.6, the price to earnings (P/E) ratio of KSB PUMPS stands at 30.2 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 3.5 times.