SJVN Announces Quarterly Results (2QFY20); Net Profit Up 85.5%

Tue, 12 Nov

SJVN has announced its results for the quarter ended September 2019. Here is a detailed performance review of the same:

SJVN Quarterly Financials

No. of Mths Qtr. Ending		3 Sep-18*	3 Jun-19*	3 Sep-19*	QoQ Change	YoY Change
Net Sales	Rs m	7,519	7,245	9,467	30.7%	25.9%
Other income	Rs m	793	894	824	-7.8%	3.9%
Turnover	Rs m	8,312	8,139	10,291	26.4%	23.8%
Expenses	Rs m	1,364	1,468	1,797	22.4%	31.8%
Gross profit	Rs m	5,999	5,777	7,670	32.8%	27.9%
Depreciation	Rs m	965	922	924	0.2%	-4.2%
Interest	Rs m	1,409	230	671	191.9%	-52.4%
Profit before tax	Rs m	4,418	5,518	6,900	25.0%	56.2%
Tax	Rs m	1,320	1,291	1,153	-10.7%	-12.6%
Profit after tax	Rs m	3,098	4,227	5,746	35.9%	85.5%
Gross profit margin	%	79.8	79.7	81.0
Effective tax rate	%	29.9	23.4	16.7
Net profit margin	%	37.3	51.9	55.8

Year-on-Year Performance:

• The company's operating income during the quarter grew 25.9% on a year-on-year (YoY) basis. The expenses were up by 31.8% YoY during the same period.
• The company's operating profit increased by 27.9% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 81.0% in 2QFY20 as against 79.8% in 2QFY19.
• Depreciation charges declined by 4.2% and finance costs declined by 52.4% YoY, respectively.
• Other income increased by 3.9% YoY during the quarter.
• Net profit for the quarter increased by 85.5% YoY. Net profit margins during the quarter increased from 37.3% in 2QFY19 to 55.8% in 2QFY20.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter grew 30.7% on a quarter-on-quarter (QoQ) basis. The expenses were up by 22.4% QoQ during the same period.
• The company's operating profit increased by 32.8% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 81.0% in 2QFY20 as against 79.7% in 1QFY19.
• Net profit for the quarter increased by 35.9% QoQ, while net profit margins increased from 51.9% in 1QFY19 to 55.8% in 2QFY20.

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

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SJVN Share Price Performance

Over the last one year,SJVN share price has moved down from Rs 28.2 to Rs 24.6, registering a Loss of Rs 3.6 or around 12.8%.

Meanwhile, the S&P BSE POWER Index is trading at Rs 1,958.4 (up 0.2%). Over the last one year it has moved up from 1,940.7 to 1,958.4, a gain of 18 points (up 0.9%).

Overall, the S&P BSE SENSEX is up 15.9% over the year.

Current Valuations

At the current price of Rs 24.6, the price to earnings (P/E) ratio of SJVN stands at 6.0 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 1.0 times.