V GUARD INDUSTRIES Announces Quarterly Results (1QFY21); Net Profit Down 93.1%
Wed, 26 Aug

V GUARD INDUSTRIES has announced its results for the quarter ended June 2020. Here is a detailed performance review of the same:

V GUARD INDUSTRIES Quarterly Financials

No. of Mths
Qtr. Ending
3
Jun-19*
3
Mar-20*
3
Jun-20*
QoQ ChangeYoY Change
Net SalesRs m6,9945,3664,058-24.4%-42.0%
Other incomeRs m645247-9.6%-27.3%
TurnoverRs m7,0585,4184,105-24.2%-41.8%
ExpensesRs m6,2834,9153,968-19.3%-36.8%
Gross profitRs m71145291-79.9%-87.3%
DepreciationRs m67717911.1%16.8%
InterestRs m1191126.0%2.1%
Profit before taxRs m69842448-88.7%-93.1%
TaxRs m1739912-88.2%-93.2%
Profit after taxRs m52532536-88.9%-93.1%
Gross profit margin%10.28.42.2
Effective tax rate%24.823.324.4
Net profit margin%7.46.00.9
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster


Year-on-Year Performance:
  • The company's operating income during the quarter fell 42.0% on a year-on-year (YoY) basis. The expenses were down by 36.8% YoY during the same period.
  • The company's operating profit declined by 87.3% YoY during the quarter. Consequently, operating profit margins witnessed a decline and stood at 2.2% in 1QFY21 as against 10.2% in 1QFY20.
  • Depreciation charges increased by 16.8% and finance costs increased by 2.1% YoY, respectively.
  • Other income declined by 27.3% YoY during the quarter.
  • Net profit for the quarter declined by 93.1% YoY. Net profit margins during the quarter declined from 7.4% in 1QFY20 to 0.9% in 1QFY21.
Quarter-on-Quarter Performance:
  • The company's operating income during the quarter fell 24.4% on a quarter-on-quarter (QoQ) basis. The expenses were down by 19.3% QoQ during the same period.
  • The company's operating profit declined by 79.9% QoQ during the quarter. Consequently, operating profit margins witnessed a decline and stood at 2.2% in 1QFY21 as against 8.4% in 4QFY20.
  • Net profit for the quarter declined by 88.9% QoQ, while net profit margins declined from 6.0% in 4QFY20 to 0.9% in 1QFY21.

To see how V GUARD INDUSTRIES has performed over the last eight quarters,please visit here.

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V GUARD INDUSTRIES Share Price Performance

Over the last one year,V GUARD INDUSTRIES share price has moved down from Rs 227.6 to Rs 177.3, registering a Loss of Rs 50.3 or around 22.1%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 14,218.9 (down 0.2%). Over the last one year it has moved down from 16,914.2 to 14,218.9, a gain of 2,695 points (down 15.9%).

Overall, the S&P BSE SENSEX is up 3.7% over the year.

Current Valuations

At the current price of Rs 177.3, the price to earnings (P/E) ratio of V GUARD INDUSTRIES stands at 55.0 times its trailing twelve months earnings, while its price to book value (P/BV) ratio stands at 8.3 times.