TINPLATE Announces Quarterly Results (2QFY20); Net Profit Up 136.5%

Tue, 29 Oct

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

TINPLATE Quarterly Financials

No. of Mths Qtr. Ending		3 Sep-18*	3 Jun-19*	3 Sep-19*	QoQ Change	YoY Change
Net Sales	Rs m	6,579	5,613	5,384	-4.1%	-18.2%
Other income	Rs m	116	69	55	-20.6%	-52.5%
Turnover	Rs m	6,695	5,682	5,439	-4.3%	-18.8%
Expenses	Rs m	6,429	5,351	5,087	-4.9%	-20.9%
Gross profit	Rs m	150	262	297	13.0%	98.0%
Depreciation	Rs m	155	161	147	-8.6%	-5.3%
Interest	Rs m	24	15	12	-19.8%	-50.6%
Profit before tax	Rs m	86	156	192	23.4%	123.5%
Tax	Rs m	33	68	66	-3.5%	102.0%
Profit after tax	Rs m	54	88	127	44.2%	136.5%
Gross profit margin	%	2.3	4.7	5.5
Effective tax rate	%	37.8	43.7	34.2
Net profit margin	%	0.8	1.5	2.3

Year-on-Year Performance:

• The company's operating income during the quarter fell 18.2% on a year-on-year (YoY) basis. The expenses were down by 20.9% YoY during the same period.
• The company's operating profit increased by 98.0% YoY during the quarter. Consequently, operating profit margins witnessed a growth and stood at 5.5% in 2QFY20 as against 2.3% in 2QFY19.
• Depreciation charges declined by 5.3% and finance costs declined by 50.6% YoY, respectively.
• Other income declined by 52.5% YoY during the quarter.
• Net profit for the quarter increased by 136.5% YoY. Net profit margins during the quarter increased from 0.8% in 2QFY19 to 2.3% in 2QFY20.

Quarter-on-Quarter Performance:

• The company's operating income during the quarter fell 4.1% on a quarter-on-quarter (QoQ) basis. The expenses were down by 4.9% QoQ during the same period.
• The company's operating profit increased by 13.0% QoQ during the quarter. Consequently, operating profit margins witnessed a growth and stood at 5.5% in 2QFY20 as against 4.7% in 1QFY19.
• Net profit for the quarter increased by 44.2% QoQ, while net profit margins increased from 1.5% in 1QFY19 to 2.3% in 2QFY20.

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

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TINPLATE Share Price Performance

Over the last one year,TINPLATE share price has moved down from Rs 155.3 to Rs 125.3, registering a Loss of Rs 30.0 or around 19.3%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 9,383.9 (up 4.2%). Over the last one year it has moved down from 12,858.7 to 9,383.9, a gain of 3,475 points (down 27.0%).

Overall, the S&P BSE SENSEX is up 16.0% over the year.

Current Valuations

At the current price of Rs 125.3, the price to earnings (P/E) ratio of TINPLATE stands at 20.3 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 1.9 times.