|
Consolidated net sales (including other operating income) of Salzer Electronics for the quarter ended Jun 2024 has increased 23.64% to Rs 356.9 crore. Operating profit margin has jumped from 9.03% to 9.37%, leading to 28.26% rise in operating profit to Rs 33.45 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 78.72% to 78.47%. Employee cost decreased from 3.61% to 3.47%. Other expenses fell from 9.25% to 8.93%. Other income rose 71.62% to Rs 1.27 crore. PBIDT rose 29.46% to Rs 34.72 crore. Provision for interest rose 21.63% to Rs 9.73 crore. PBDT rose 32.78% to Rs 24.99 crore. Provision for depreciation rose 20.39% to Rs 5.61 crore. Profit before tax grew 36.86% to Rs 19.38 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 4.63 crore, compared to Rs 3.99 crore. Effective tax rate was 23.89% compared to 28.18%. Minority interest increased 73.91% to Rs 0.40 crore. Net profit attributable to owners of the company increased 44.37% to Rs 14.35 crore. Full year results analysis.
Net sales (including other operating income) of Salzer Electronics has increased 12.45% to Rs 1166.31 crore. Operating profit margin has jumped from 9.25% to 10.03%, leading to 21.98% rise in operating profit to Rs 116.98 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 78.24% to 76.34%. Employee cost increased from 3.72% to 3.92%. Other expenses rose from 8.96% to 9.69%. Other income rose 14.71% to Rs 1.95 crore. PBIDT rose 21.85% to Rs 118.93 crore. Provision for interest rose 30.51% to Rs 34.09 crore. PBDT rose 18.69% to Rs 84.84 crore. Provision for depreciation rose 21.14% to Rs 20.11 crore. Profit before tax grew 17.95% to Rs 64.73 crore. Share of profit/loss were nil in both the periods. Provision for tax was expense of Rs 17.66 crore, compared to Rs 15.28 crore. Effective tax rate was 27.28% compared to 27.83%. Minority interest increased 30.77% to Rs 1.19 crore. Net profit attributable to owners of the company increased 18.52% to Rs 45.88 crore. Management Comments :
Commenting on this, Mr. Rajesh Doraiswamy, Joint Managing Director, Salzer Electronics Ltd said: “During the First quarter of the financial year, we registered a revenue of Rs. 356.90 crores with EBITDA (excluding other income) and PAT of Rs. 33.45 crore and Rs. 14.76 crore, respectively on a consolidated basis. This growth was mainly driven by industrial switchgear and wires & Cables business due to better market conditions. Our revenues from exports were largely from North and South America, and Middle East countries. We expect to continue with a similar growth trajectory with our strong product offerings and brand position in the market. Based on domestic and export outlook, we are cautiously optimistic about the overall business performance. Our strategic focus is on sustaining a well-balanced business mix between industrial switchgear and wires & cables products to effectively improve the overall gross margin.
We are planning to establish a wholly owned subsidiary in Saudi Arabia. Currently we exporting to major OEMs in Saud Arabia. The Saudi government`s local content rule has increased demand for locally made products. The market for key products, including cable ducts, terminal connectors, and rotary cam switches, shows significant growth potential. Setting up a facility in Saudi Arabia will meet local demand and provide duty-free access to other GCC countries. Additionally, the company plans to introduce wires and cables in the second year to further expand its market presence. I thank the entire team at Salzer Electronics for their untiring efforts and all our stakeholders for their continued support and faith in our Company." Promoters’ stake was 37.53% as of 30 June 2024, compared to 33.94% as of 30 June 2023. Promoters’ stake was 37.32% as of 31 March 2024 ,compared to 33.18% as of 31 March 2023. Promoters pledged stake was 17.17% as of 30 June 2024 against 22.92% as of 31 March 2024. Cash flow from operating activities decreased to Rs 23.77 crore for year ended March 2024 from Rs 25.12 crore for year ended March 2023. Cash flow used in acquiring fixed assets during the year ended March 2024 stood at Rs 45.18 crore, compared to Rs 37.81 crore during the year ended March 2023.
| Salzer Electronics : Consolidated Results | | | Quarter ended | Year ended |
|---|
| Particulars | 202406 | 202306 | Var.(%) | 202403 | 202303 | Var.(%) |
|---|
| Net Sales (including other operating income) | 356.90 | 288.67 | 23.64 | 1,166.31 | 1,037.17 | 12.45 | | OPM (%) | 9.37 | 9.03 | 34 bps | 10.03 | 9.25 | 78 bps | | OP | 33.45 | 26.08 | 28.26 | 116.98 | 95.90 | 21.98 | | Other Inc. | 1.27 | 0.74 | 71.62 | 1.95 | 1.70 | 14.71 | | PBIDT | 34.72 | 26.82 | 29.46 | 118.93 | 97.60 | 21.85 | | Interest | 9.73 | 8.00 | 21.63 | 34.09 | 26.12 | 30.51 | | PBDT | 24.99 | 18.82 | 32.78 | 84.84 | 71.48 | 18.69 | | Depreciation | 5.61 | 4.66 | 20.39 | 20.11 | 16.6 | 21.14 | | PBT | 19.38 | 14.16 | 36.86 | 64.73 | 54.88 | 17.95 | | Share of Profit/(Loss) from Associates | 0 | 0 | - | 0 | 0 | - | | PBT before EO | 19.38 | 14.16 | 36.86 | 64.73 | 54.88 | 17.95 | | EO Income | 0 | 0 | - | 0 | 0.02 | - | | PBT after EO | 19.38 | 14.16 | 36.86 | 64.73 | 54.9 | 17.91 | | Taxation | 4.63 | 3.99 | 16.04 | 17.66 | 15.28 | 15.58 | | PAT | 14.75 | 10.17 | 45.03 | 47.07 | 39.62 | 18.80 | | Minority Interest (MI) | 0.4 | 0.23 | 73.91 | 1.19 | 0.91 | 30.77 | | Net profit | 14.35 | 9.94 | 44.37 | 45.88 | 38.71 | 18.52 | | P/(L) from discontinued operations net of tax | 0 | 0 | - | 0 | 0 | - | | Net profit after discontinued operations | 14.35 | 9.94 | 44.37 | 45.88 | 38.71 | 18.52 | | EPS (Rs)* | 8.12 | 5.62 | 44.37 | 25.95 | 21.88 | 18.58 | | | * EPS is on current equity of Rs 17.68 crore, Face value of Rs 10, Excluding extraordinary items. | | # EPS is not annualised | | bps : Basis points | | EO : Extraordinary items | | Figures in Rs crore | | Source: Capitaline Corporate Database |
|
|