Share the post "Lakshmi Electrical Control Systems : Q4 2024 Financial Quarterly Report : YoY Sales Down 35.32 %, QoQ Down 23.73 %"
Highlights
- Sales over the Year and quarter: The company’s sales declined by -35.32 % over the year, decrease in net sales/revenue by -23.73 %.
- Income over the Year and quarter: There has been either a marginal increase or a decline in other income over the past year which is 47.06 %. Marginal increase in other income during this quarter, up by 14.68%.
- Profit over the Year and quarter: Challenges in sustaining profitability for Lakshmi Electrical Control Systems. Profit dropped by -48.62 % Year to Year, Lakshmi Electrical Control Systems’s profitability increased by 8.49 % in this quarter.
- EPS over the Year and quarter: EPS declined by -48.64 % Year to Year. EPS increased by 8.45 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 95.778 Cr | Rs. 81.226 Cr | Rs. 61.951 Cr | -23.73 % | -35.32 % |
| Expenses | Rs. 90.04 Cr | Rs. 78.82 Cr | Rs. 59.41 Cr | -24.63 % | -34.02 % |
| Operating Profit | Rs. 5.74 Cr | Rs. 2.41 Cr | Rs. 2.54 Cr | + 5.39 % | -55.75 % |
| OPM % | 5.99 % | 2.97 % | 4.1 % | + 1.13 % | -1.89 % |
| Other Income | Rs. 0.85 Cr | Rs. 1.09 Cr | Rs. 1.25 Cr | + 14.68 % | + 47.06 % |
| Interest | Rs. 0.16 Cr | Rs. 0.16 Cr | Rs. 0.1 Cr | -37.5 % | -37.5 % |
| Depreciation | Rs. 0.7 Cr | Rs. 0.8 Cr | Rs. 0.85 Cr | + 6.25 % | + 21.43 % |
| Profit before tax | Rs. 5.73 Cr | Rs. 2.54 Cr | Rs. 2.84 Cr | + 11.81 % | -50.44 % |
| Tax % | 29.39 % | 24.12 % | 27.13 % | + 3.01 % | -2.26 % |
| Net Profit | Rs. 4.05 Cr | Rs. 1.92 Cr | Rs. 2.08 Cr | + 8.33 % | -48.64 % |
| EPS in Rs | Rs. 16.49 | Rs. 7.81 | Rs. 8.47 | + 8.45 % | -48.64 % |
Today, we’re looking at Lakshmi Electrical Control Systems’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -35.32 %. However, it did see a marginal slip of -23.73 % from the previous quarter. Expenses decreased slightly by -24.63 % quarter-on-quarter, aligning with the annual decline of -34.02 %. Operating profit, while down -55.75 % compared to last year, faced a quarter-on-quarter increase of 5.39 %, signaling a short-term expansion in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -1.89 %, but an expansion of 1.13 % sequentially. Other income rose by 14.68 % compared to the last quarter, despite an annual growth of 47.06 %. Interest expenses dropped significantly by -37.5 % from the previous quarter, yet the year-over-year decrease remains at a moderate -37.5 %. Depreciation costs climbed by 6.25 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 21.43 %. Profit before tax declined annually by -50.44 % but saw an increase from the preceding quarter by 11.81 %.
Tax expenses as a percentage of profits decreased slightly by -2.26 % compared to last year, with a more notable quarter-on-quarter increase of 3.01 %. Net profit fell by -48.64 % year-on-year but experienced a 8.33 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -48.64 % but a quarterly rise of 8.45 %. In summary, Lakshmi Electrical Control Systems’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 95.778 Cr | Rs. 81.226 Cr | Rs. 61.951 Cr | -23.73 % | -35.32 % |
| Expenses | Rs. 90.04 Cr | Rs. 78.82 Cr | Rs. 59.41 Cr | -24.63 % | -34.02 % |
| Operating Profit | Rs. 5.74 Cr | Rs. 2.41 Cr | Rs. 2.54 Cr | + 5.39 % | -55.75 % |
| Net Profit | Rs. 4.05 Cr | Rs. 1.92 Cr | Rs. 2.08 Cr | + 8.33 % | -48.64 % |
| EPS in Rs | Rs. 16.49 | Rs. 7.81 | Rs. 8.47 | + 8.45 % | -48.64 % |
In reviewing Lakshmi Electrical Control Systems’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -35.32 % year-on-year, although there was a slight dip of -23.73 % from the previous quarter. Expenses decreased by -34.02 % compared to the previous year, with a decrease of -24.63 % quarter-on-quarter. Operating Profit dropped by -55.75 % annually, and saw a 5.39 % increase from the last quarter.
Net Profit showed yearly decrease of -48.64 %, and experienced a 8.33 % increase from the previous quarter. Earnings Per Share (EPS) fell by -48.64 % annually, however rose by 8.45 % compared to the last quarter. In essence, while Lakshmi Electrical Control Systems faces strong annual decline indicators, short-term improvements suggest the potential for recovery and the importance of strategic adjustments to counter market challenges effectively. That’s all for now in the financial sector.
36
3-Year Profit
5
5-Year Profit
7
10-Year Profit
1,437
Current Price
354
Market Cap
Upon examining the financial data for BSE code 504258, it becomes clear that the company achieved a notable five-year profit of 5 percents, which impressively increased to 36 percents in the three-year window. This upward trajectory, however, has been overshadowed by the latest trailing twelve-month (TTM) figures, which indicate a concerning loss of -53 percents. This financial loss is further compounded by the fact that the company has not recorded any sales across any of the timeframes under consideration. Such an unusual situation might suggest that the company operates under an unconventional business model, which could potentially carry higher risks. In terms of stock performance, the company’s stock price has seen a decline, falling from 34 percents over the five-year period to just -7 percents in the last year. The ten-year average stock price, which sits at 12 percents, highlights long-term volatility, casting doubt on the company's ability to sustain its market position over time. This warrants further investigation into the factors driving these fluctuations.
The company has a market capitalization of ₹354 crore and is currently trading at ₹1,437 per share. Historically, the stock has fluctuated within a range of ₹2,175 / 1,166, reflecting both the opportunities and risks that investors perceive in the company. The P/E ratio, at 35.9, is relatively high, suggesting that the market has priced in substantial future growth or is willing to pay a premium for the company’s current earnings. The book value per share stands at ₹189, which reflects the net asset value of the company divided by the number of outstanding shares. The dividend yield is 1.04%, providing shareholders with a consistent return on their investment. ROCE is 16.0%, indicating how well the company is using its capital to generate profits, while ROE at 23.3% highlights the returns generated from shareholders' equity. The debt-to-equity ratio is 1.89, signaling low financial leverage, which is typically seen as a positive indicator of financial health. However, the company’s negative net cash flow of ₹-0.97 crore might raise concerns about its cash generation capabilities or capital expenditures. With a Piotroski score of 6.00, the company's financial stability is evaluated on several factors. Finally, the Graham Number, at ₹412, provides an estimate of the stock’s intrinsic value, while the Price-to-Book (P/B) ratio of 7.62 highlights that the stock is trading at a premium to its book value, potentially reflecting positive market sentiment or overvaluation risks.
