REL.INDUS.INFRAS Announces Quarterly Results (3QFY19); Net Profit Down 29.0%

Mon, 14 Jan

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

REL.INDUS.INFRAS Quarterly Financials

No. of Mths Qtr. Ending		3 Dec-17*	3 Sep-18*	3 Dec-18*	QoQ Change	YoY Change
Net Sales	Rs m	211	213	212	-0.5%	0.2%
Other income	Rs m	46	39	38	-1.6%	-16.2%
Turnover	Rs m	257	252	250	-0.6%	-2.7%
Expenses	Rs m	177	184	185	0.4%	4.5%
Gross profit	Rs m	35	29	27	-6.1%	-21.6%
Depreciation	Rs m	35	36	36	1.2%	2.4%
Interest	Rs m	0	0	0	0.0%	0.0%
Profit before tax	Rs m	45	32	29	-8.6%	-34.8%
Tax	Rs m	18	11	10	-6.6%	-43.3%
Profit after tax	Rs m	27	21	19	-9.7%	-29.0%
Gross profit margin	%	16.3	13.5	12.8
Effective tax rate	%	40.8	34.7	35.5
Net profit margin	%	10.4	8.3	7.6

Year-on-Year Performance:

• The company's operating income during the quarter grew 0.2% on a year-on-year (YoY) basis. The expenses were up by 4.5% YoY during the same period.
• The company's operating profit declined by 21.6% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 12.8% in 3QFY19 as against 16.3% in 3QFY18.
• Depreciation charges increased by 2.4% and finance costs increased by 0.0% YoY, respectively.
• Other income declined by 16.2% YoY during the quarter.
• Net profit for the quarter declined by 29.0% YoY. Net profit margins during the quarter declined from 10.4% in 3QFY18 to 7.6% in 3QFY19.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 0.5% on a quarter-on-quarter (QoQ) basis. The expenses were up by 0.4% QoQ during the same period.
• The company's operating profit declined by 6.1% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 12.8% in 3QFY19 as against 13.5% in 2QFY18.
• Net profit for the quarter declined by 9.7% QoQ, while net profit margins declined from 8.3% in 2QFY18 to 7.6% in 3QFY19.

To see how REL.INDUS.INFRAS has performed over the last eight quarters, please visit here.

REL.INDUS.INFRAS Share Price Performance

Over the last one year, REL.INDUS.INFRAS share price has moved up from Rs 627.7 to Rs 330.4, registering a Loss of Rs 297.3 or around 47.4%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 1,819.2 (down 0.8%). Over the last one year it has moved down from 2,763.7 to 1,819.2, a gain of 944 points (down 34.2%).

Overall, the S&P BSE SENSEX is up 3.8% over the year.

Current Valuations

At the current price of Rs 330.4, the price to earnings (P/E) ratio of REL.INDUS.INFRAS stands at 59.0 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 1.4 times.