Mumbai, July 26 (IBNS) Bajaj Electricals Ltd, an Indian consumer electrical equipments manufacturing company, has declared its results for the First Quarter ended 30th June, 2012.
During this quarter, the net sales/income from operations has increased by 22.4% to Rs 666.19 Crore as against Rs. 544.36 Crore in the first quarter of the previous year.
The Profit before Tax, however has marginally improved to Rs. 18.25 Crore as against Rs. 17.06 crore in the same quarter of the previous year.
The net profit for the period has improved by 8.3% to Rs. 11.98 crore from Rs.11.06 crore in the corresponding period of the previous year.
During the quarter, Consumer Durable segment and Lighting Segment of the Company continued to perform well with Total Revenue of Rs. 390.42 crores and Rs. 152.41 crores respectively, a growth of 28.8% and 19.6% over the corresponding quarter of previous period.
The market conditions for the Engineering and Project segment remained tough with overall slow pace of Infra sector growth, said the company.
Even in such conditions, this segment registered total revenue of Rs. 123.19 crores as against Rs. 113.68 crores, a growth of 8.4% over the corresponding quarter of the previous year.
Shekhar Bajaj, Chairman and Managing Director, Bajaj Electricals Limited, said: "In the First quarter of the year 2012-13, the company has made a good beginning, with the Lighting Segment continuing its good work with a top line growth of 19.6% whereas Consumer durable segment has also performed well registering a growth of 28.8% over the previous period."
"Market conditions such as commodity prices volatility, exchange rate fluctuations, etc. have pushed up the purchase price of the products and have therefore impacted the margins of both the segments.
"However, there are no pressures on demand conditions as company registered a strong growth in both these segments in the first quarter. Increase in the interest cost has also affected the profitability," Bajaj said.
Anant Bajaj, Joint Managing Director, Bajaj Electricals Limited, said: "The Q1 has seen a growth in top line of 22.4% and flat PBT. The net profits have grown 8.3%. Segments have seen pressure for all in the area of margins although sales have grown in all segments of the Company."
"The turmoil in the Infrastructure Industry has been continuing for some time now and thus impacting the overall performance of the Engineering and Projects segment has for the Q1 FY 12-13 had a sales growth of 8.4%, resulting in poor absorption of fixed costs and lowering of margins.
"The segment has registered a loss in Q1 of the current financial year of Rs.7.06 crores against Rs. 7.56 crores in Q1 of 2011-12," he said.
The current order book stands at Rs. 450 crores, comprising of Rs. 133 crores of Transmission Line Towers, Rs. 64 crores of High Mast and Poles and Rs. 253 crores of Special Projects.
The company is also L1 in various tenders worth Rs. 732 crores, comprising TLT tenders of Rs. 455 crores and Special Projects of Rs.277 crores. We hope to receive these orders shortly.
The Lighting segment profit has been flat at Rs. 7.4 crores.
The Consumer durables segment profit has increased by Rs. 3.6 crores from Rs. 29.23 crores to Rs. 32.83 crores, but in terms of percentage to sales, there has been a drop of 1.2% to 8.4% from 9.6% of the previous period.
Exports thrust has begun in the company since April 2, 2012. In its first quarter Exports has registered a turnover of over Rs. 13 crores.