Nine Months Net Sales/Income from operations grows by 11.5 % to Rs. 2273.03 Crore
Bajaj Electricals Ltd has declared its results for the third quarter & Nine Months ended 31st December 2012. During the third quarter, the net sales/income from operations has increased by 10% to Rs.873.03 Crore as against Rs. 793.76 Crore in the third quarter of the previous year. However, the Profit before Tax and exceptional items has decreased by 64.4 % at Rs. 17.37 Crore for the third quarter of 2012-13 as against Rs. 48.82 crore in the third quarter of the previous year. The net profit for the period has decreased to Rs. 11.68 crore from Rs. 32.84 crore in the corresponding period of the previous year.
During the first Nine Months of the current year (2012-13) net sales/income from operations is higher by 11.5% at Rs. 2273.03 Crore as against Rs. 2039.09 Crore in the corresponding period of the previous year. However, the Profit before Tax and exceptional items has de-grown by 58.2% to Rs. 43.23 crore from Rs. 103.33 crore. As there was a exceptional income of Rs. 24.68 crore due to divestment of shareholding in Bajaj Ventures Limited in the second quarter, Net profit for the period has de-grown by 26.6 % to Rs. 50.58 crore from Rs. 68.89 crore over the corresponding period of the previous year
During the quarter, Lighting Segment and Consumer durable segment of the Company have achieved total Revenue of Rs. 221.47 crore and Rs. 504.38 crore respectively, a growth of 10.6 % and 21.9% over the corresponding quarter of previous period. The Engineering and Project Segment has on the other hand registered a de-growth of 18.1% with a total revenue of Rs. 146.86 crore.
During the Nine Months ended 31st December, 2012, Lighting Segment and Consumer durable segment have registered Total revenue of Rs. 575.53 crore and Rs. 1293.49 crore respectively, a growth of 11.3 % and 22.4% over the corresponding previous period whereas Engineering and Project Segment has registered a de-growth of 13.2 % with a total income of Rs. 402.76 crore.
Mr. Shekhar Bajaj, Chairman and Managing Director, Bajaj Electricals Limited, said “The performance of the Lighting and Consumer Durables segment has been growing very consistently. For the Nine Months ended 31st December, 2012, the Lighting Segment fared well with a top line growth of 11.3% and Consumer durable segment has continued its good work registering a growth of 22.4% over the previous period. Better Demand conditions during the festive season helped both these Segments to register a marginal improvement in margins over the corresponding previous period. However, Market conditions continue to remain tough due to volatile factors such Commodity prices movements, Exchange rate fluctuations, besides competition.etc.
On the Engineering and Projects side, “The Infrastructure Industry has been going through a bad phase. As a result, this segment has witnessed a considerable slowdown resulting in de-growth in sales by about 13.2% over the previous period. Engineering and Projects division, though, continued its focus on closures of Old sites by incurring additional expenditure, which has resulted in higher losses. However, the corrective actions in terms of Project Monitoring, etc. have been already put in place, to efficiently handle future projects.
Mr. Anant Bajaj, Joint Managing Director, Bajaj Electricals Limited mentioned that “For the Nine months ended 31st December, 2012, the Lighting segment and Consumer Durables segment have maintained a good growth in their top line besides protecting their margins. However, Engineering and Project segment has been facing tough times due to overall slowdown in the Industry as also to ensure faster closure of time and cost overrun projects. However, this would ensure release of retention money blocked, thereby reducing the capital employed in the segment.”
He also mentioned that the company has recently received orders worth Rs. 275 crores, and the current order book stands at Rs. 970 crores, comprising Rs. 273 crores of Transmission Line Towers, Rs. 79 crores of High Mast and Poles and Rs. 618 crores of Special projects. Besides the company is L1 in further orders of about Rs. 770 crores.