V-Guard net up 23 percent in Q3

Last Updated: Fri, Feb 01, 2013 11:50 hrs

Bangalore, Feb 1 (IANS) Electric and electronics goods major V-Guard Industries Ltd reported net profit of Rs.15.4 crore for the third quarter (October-December) of fiscal 2012-13, registering 23 percent year-on-year (YoY) increase from Rs.12.5 crore in the like quarter a year ago.

The Kochi-based listed firm's total income from sales and during Q3 shot up 42 percent YoY to Rs.349 crore from Rs.247 crore in the same period year ago, with new products such as switch gears and induction cook tops contributing significantly.

Though total income was up 12 percent from Rs.314 crore in second quarter (July-September) this fiscal, net income declined 14 percent sequentially from Rs.18 crore in the same quarter.

"Digital UPS (uninterrupted power supply), electric and solar water heaters and wires performed exceptionally well, contributing 56 percent to total revenue," V-Guard managing director Mithun K. Chittilappilly said in a statement here Friday.

A whopping 141 percent jump in advertisement-spend during the quarter, however, impacted the company's margins.

"We are optimistic on growing our business across all product verticals to maintain the momentum this fiscal. Our products, including stabilisers, wires, pumps and digital UPS are expected to perform well in the fourth quarter (January-March)," Chittilappilly asserted.

The Rs.965-crore company plans to unveil its mixer grinder during the first quarter (April-June) of next fiscal (1213-14). It also plans to launch its new products, including switch gears and induction cook tops in other markets across the country in a phased manner.

More from Sify: