Capitaline

Results 02-Feb-24

Analysis

Goodluck India

Robust quarter

Goodluck India consolidated net sales increased 24.41% to Rs 878.27 crore during Q3FY24 compared to Q3FY23. Operating profit margin has jumped from 6.83% to 8.45%, leading to 53.94% rise in operating profit to Rs 74.23 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 74.43% to 72.55%. Employee cost increased from 4.17% to 4.24%. Other expenses rose from 14.87% to 15.06%.

Other income fell 71.65% to Rs 1.46 crore. PBIDT rose 41.82% to Rs 75.69 crore. Provision for interest rose 23.65% to Rs 21.07 crore.

PBDT rose 50.34% to Rs 54.62 crore. Provision for depreciation rose 3.14% to Rs 8.54 crore.

Profit before tax grew 64.28% to Rs 46.08 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 14.31 crore, compared to Rs 9.65 crore. Effective tax rate was 31.05% compared to 34.40%.

Minority interest was nil in both the periods. Net profit attributable to owners of the company increased 72.66% to Rs 31.77 crore.

Promoters’ stake was 56.45% as of 31 December 2023 ,compared to 58.73% as of 31 December 2022.

According to Mr. M C Garg, the chairman of Goodluck India, the company has been witnessing a robust growth momentum backed by a steady demand both in domestic and export markets. It has been ramping up capacities to cater to the growing demand, particularly in the high value-added products segment which has helped shore up the margins.

“We expect our sales volume to increase and margins to improve further moving forward backed by a good demand and increased capacities. Goodluck Defence and Aerospace Private Limited, a subsidiary of Goodluck India Limited caters to the extensive needs of Defence & Aerospace Industry. We foresee a huge growth potential in the segment particularly with the Government’s increasing thrust on Make in India, Aatmanirbhar Bharat, which highlights the need to bring our country’s dependence on imports in these sectors. We recently raised close to Rs 200 crore through the Qualified Institutional Placement (QIP) route to fund our working capital requirements. We expect the company to move on a higher growth trajectory in the coming quarters,” Garg said.

For year-to-date (YTD) results analysis

Net sales (including other operating income) of Goodluck India has increased 13.64% to Rs 2622.28 crore. Operating profit margin has jumped from 6.35% to 8.24%, leading to 47.44% rise in operating profit to Rs 215.99 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 73.40% to 73.25%. Employee cost increased from 3.92% to 4.31%. Other expenses fell from 16.51% to 14.37%.

Other income fell 65.64% to Rs 4.25 crore. PBIDT rose 38.64% to Rs 220.24 crore. Provision for interest rose 23.79% to Rs 62.19 crore.

PBDT rose 45.51% to Rs 158.05 crore. Provision for depreciation rose 7.83% to Rs 25.89 crore.

Profit before tax grew 56.20% to Rs 132.16 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 37.11 crore, compared to Rs 24.77 crore. Effective tax rate was 28.08% compared to 29.28%.

Minority interest was nil in both the periods. Net profit attributable to owners of the company increased 58.84% to Rs 95.05 crore.

Promoters’ stake was 56.45% as of 31 December 2023 ,compared to 58.73% as of 31 December 2022.

The company’s board has declared an interim dividend at the rate of 150% or Rs 3 per equity share of Rs 2 each for the financial year 2023-24.

The scrip trades at Rs 1058

Goodluck India : Consolidated Results
Particulars	2312 (03)	2212 (03)	Var.(%)	2312 (09)	2212 (09)	Var.(%)	2303 (12)	2203 (12)	Var.(%)
Net Sales	878.27	705.94	24	2,622.28	2,307.46	14	3,072.01	2,613.21	18
OPM (%)	8.5	6.8		8.2	6.3		6.7	7.0
OP	74.23	48.22	54	215.99	146.49	47	204.37	183	12
Other Inc.	1.46	5.15	-72	4.25	12.37	-66	14.79	3.89	280
PBIDT	75.69	53.37	42	220.24	158.86	39	219.16	186.89	17
Interest	21.07	17.04	24	62.19	50.24	24	65.52	57.35	14
PBDT	54.62	36.33	50	158.05	108.62	46	153.64	129.54	19
Depreciation	8.54	8.28	3	25.89	24.01	8	32.59	28.97	12
PBT	46.08	28.05	64	132.16	84.61	56	121.05	100.57	20
Share of Profit/(Loss) from Associates	0	0		0	0		0	0
PBT before EO	46.08	28.05	64	132.16	84.61	56	121.05	100.57	20
EO Income	0	0		0	0		0	0
PBT after EO	46.08	28.05	64	132.16	84.61	56	121.05	100.57	20
Taxation	14.31	9.65	48	37.11	24.77	50	33.25	25.56	30
PAT	31.77	18.4	73	95.05	59.84	59	87.8	75.01	17
Minority Interest (MI)	0	0		0	0		0	0
Net profit	31.77	18.4	73	95.05	59.84	59	87.8	75.01	17
EPS (Rs)*	#	#		#	#		27.7	23.7
Notes
* EPS is on current equity of Rs 6.35 crore, Face value of Rs 2, Excluding extraordinary items.
# EPS is not annualised
bps : Basis points
EO : Extraordinary items
Figures in Rs crore
Source: Capitaline Corporate Database

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