Genus Power Infrastructures Ltd Q1 FY23 Result Updates.
Reduced capacity utilization to hamper revenue growth.
Genus Power Infrastructures Ltd reported a net profit of Rs. 0.65 crores in June 2022 up by 1135.92% from Rs. 0.05 crore in June 2021. Sequentially the net profit fell from Rs. 10.98 cores in the March quarter. Net Profit Margin stood at 6.38%.
Revenue stood at Rs. 187.0 crores, up by 43%, as against Q1FY22 revenue of Rs. 130.4 crores. Reduced capacity utilization as a result of a lack in supply of semiconductors and other essential electronic components continued to have an adverse impact on revenue growth. In the previous quarter, the revenue was lower at Rs. 181 crores. The company expects the normalcy in the supply chain to be restored within the next three months and anticipates a sharp revenue rebound in H2FY23 on account of a robust order book and healthy order inflow.
Rise in price on raw materials affected the operating margins.
Earnings before interest, tax, depreciation, and Amortization (EBITDA) stood at Rs. 14.3 crores, an increase of 183%, as against Rs. 5.1 crore of Q1FY22. Sequentially, higher prices for raw materials and a lack of operating leverage as a result of lower capacity utilization continued to hamper operating margins. The operating profit margin stood at 8% as compared to 11% in the previous quarter.
The total expenses stood at Rs. 183 crores for the June quarter as compared to Rs. 136 crores in Q1 FY22.
The profit before tax stood at Rs. 2.31 crores from Rs. 0.08 crores in Q1 FY3. Sequentially the PBT declined from Rs. 17.60 crores.
The Board of Directors has recommended a dividend of 25% (Re. 0.25 per equity share) for the financial year 2021-22, which is subject to the approval of the shareholders.
As on 30th June 2022, the company’s order book stood at Rs. 1,855 crores (net of tax) from Rs. 1080 crores in the previous quarter.
The shares of Genus Power Infrastructures Ltd closed at Rs. 74.55, down by 0.93%.
The return on equity (ROE) is 6.17% for the quarter ended June 2022. The price-to-earning (P/E) ratio stood at 42.8. The return on capital employed (ROCE) for the company is 8.42%. The price to book value of Genus Power Infrastructures Ltd is 2.06. The EV/EBITDA is 19.7. Genus Power EPS has increased to Rs. 0.03 in June 2022 from Rs. 0.00 in June 2021.