V-Guard Reports 18% Lower PAT in Q2FY19 at Rs 38.18 Cr | CORPORATE ETHOS

V-Guard Reports 18% Lower PAT in Q2FY19 at Rs 38.18 Cr

By: | October 26, 2018
V-Guard

Oct 26: V-Guard Industries reported 18% lower profit after tax for Q2FY19 at Rs 38.18 cr on an annualised basis as compared to Rs 46.50 cr in the year ago period.

India’s leading consumer electrical and electronics company, V-Guard Industries Ltd., announced its results for the quarter ended September 30, 2018. Mithun K Chittilapilly, Managing Director of V-Guard said that the performance was impacted by floods in Kerala and unfavourable weather conditions elsewhere in the country.

Highlights:
-Net Revenue from operations for the half year ended September 30, 2018 stood at Rs.1,232.47 crores; Growth of 9% as compared to Rs.1,132.96 crores in the same period of previous year.
-Profit After Tax for the half year ended September 30, 2018 was Rs.72.58 crores; Increase of 4% as compared to Rs.69.75 crores in the same period of previous year.
-Net Revenue from operations for the quarter ended September 30, 2018 stood at Rs.597.58 crores; Growth of 6% as compared to Rs.563.89 crores in the same period of previous year.
-Profit After Tax for the quarter ended September 30, 2018 was Rs.38.18 crores; Lower by 18% as compared to Rs.46.50 crores in the same period of previous year.
-Growth driven by Digital UPS, Switchgear and Kitchen appliances.
-Launched Gas Stove in the markets of Tamil Nadu

Commenting on the company’s performance, Mr. Mithun. K. Chittilappilly, Managing Director, V-Guard Industries Ltd said “Revenue for the quarter grew by 6% on a high base, as the corresponding quarter of last year had the recovery post GST rollout. Our performance this quarter was impacted by the floods in Kerala and unfavourable weather conditions elsewhere in the country. Yet, on a YTD basis, the like-to-like turnover growth has been at 12%. There is also a transitory impact on margins caused by volatility in commodity prices and the depreciation of the Rupee. We continue to make good progress in the non-South markets, and we plan to extend our new products into further markets in the second half of the year. We are hopeful of recovering a part of the top line growth in the coming months. Some pricing actions are being planned which will help recover the impact of input cost increases”.