Share the post "Tata Investment Corporation : Q1 2024 Financial Quarterly Report : YoY Sales Down 6.03 %, QoQ Up 149.45 %"
Highlights
- The presented financial data is Consolidated to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company’s sales declined by -6.03 % over the year, substantial increase in net sales/revenue by 149.45 %.
- 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 180.77 %. Marginal increase in other income during this quarter, up by 108.57%.
- Profit over the Year and quarter: Challenges in sustaining profitability for Tata Investment Corporation Limited. Profit dropped by -11.28 % Year to Year, Tata Investment Corporation Limited’s profitability increased by 116.75 % in this quarter.
- EPS over the Year and quarter: EPS declined by -10.72 % Year to Year. EPS increased by 116.82 % in previous quarter. Positive impact on shareholders.
Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
---|---|---|---|---|---|
Sales | Rs. 151.6 Cr | Rs. 57.11 Cr | Rs. 142.46 Cr | + 149.45 % | -6.03 % |
Expenses | Rs. 8.66 Cr | Rs. 7.82 Cr | Rs. 11.52 Cr | + 47.31 % | + 33.03 % |
Operating Profit | Rs. 142.94 Cr | Rs. 49.29 Cr | Rs. 130.94 Cr | + 165.65 % | -8.4 % |
OPM % | 94.29 % | 86.31 % | 91.91 % | + 5.6 % | -2.38 % |
Other Income | Rs. 0.26 Cr | Rs. 0.35 Cr | Rs. 0.73 Cr | + 108.57 % | + 180.77 % |
Interest | Rs. 5.17 Cr | Rs. 0.02 Cr | Rs. 0.02 Cr | + 0 % | -99.61 % |
Depreciation | Rs. 0.23 Cr | Rs. 0.24 Cr | Rs. 0.23 Cr | -4.17 % | + 0 % |
Profit before tax | Rs. 137.8 Cr | Rs. 49.38 Cr | Rs. 131.42 Cr | + 166.14 % | -4.63 % |
Tax % | 2.92 % | 23.77 % | 18.75 % | -5.02 % | + 15.83 % |
Net Profit | Rs. 147.74 Cr | Rs. 60.47 Cr | Rs. 131.07 Cr | + 116.75 % | -11.28 % |
EPS in Rs | Rs. 29.02 | Rs. 11.95 | Rs. 25.91 | + 116.82 % | -10.72 % |
Today, we’re looking at Tata Investment Corporation Limited’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -6.03 %. However, it did see a marginal increase of 149.45 % from the previous quarter. Expenses ticked up slightly by 47.31 % quarter-on-quarter, aligning with the annual rise of 33.03 %. Operating profit, while down -8.4 % compared to last year, faced a quarter-on-quarter increase of 165.65 %, 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 -2.38 %, but an expansion of 5.6 % sequentially. Other income rose by 108.57 % compared to the last quarter, despite an annual growth of 180.77 %. Interest expenses surged remarkably by 0 % from the previous quarter, yet the year-over-year decrease remains at a moderate -99.61 %. Depreciation costs fell by -4.17 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 0 %. Profit before tax declined annually by -4.63 % but saw an increase from the preceding quarter by 166.14 %.
Tax expenses as a percentage of profits increased slightly by 15.83 % compared to last year, with a more notable quarter-on-quarter decrease of -5.02 %. Net profit fell by -11.28 % year-on-year but experienced a 116.75 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -10.72 % but a quarterly rise of 116.82 %. In summary, Tata Investment Corporation Limited’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. 151.6 Cr | Rs. 57.11 Cr | Rs. 142.46 Cr | + 149.45 % | -6.03 % |
Expenses | Rs. 8.66 Cr | Rs. 7.82 Cr | Rs. 11.52 Cr | + 47.31 % | + 33.03 % |
Operating Profit | Rs. 142.94 Cr | Rs. 49.29 Cr | Rs. 130.94 Cr | + 165.65 % | -8.4 % |
Net Profit | Rs. 147.74 Cr | Rs. 60.47 Cr | Rs. 131.07 Cr | + 116.75 % | -11.28 % |
EPS in Rs | Rs. 29.02 | Rs. 11.95 | Rs. 25.91 | + 116.82 % | -10.72 % |
In reviewing Tata Investment Corporation Limited’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -6.03 % year-on-year, however, there was a minor increase of 149.45 % from the previous quarter. Expenses rose by 33.03 % compared to the previous year, with a 47.31 % increase quarter-on-quarter. Operating Profit dropped by -8.4 % annually, and saw a 165.65 % increase from the last quarter.
Net Profit showed yearly decrease of -11.28 %, and experienced a 116.75 % increase from the previous quarter. Earnings Per Share (EPS) fell by -10.72 % annually, however rose by 116.82 % compared to the last quarter. In essence, while Tata Investment Corporation Limited 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.
6
3-Year Profit
17
5-Year Profit
16
10-Year Profit
4,328
Current Price
48,293
Market Cap
The financial outlook for the company under BSE code 500495 reveals a significant five-year profit of 17 units. This marks a notable increase to 6 units over the last three years, indicating a strong upward trend in the company's financial health during this period. However, it's important to note that recent challenges have impacted the company's performance, leading to a trailing twelve-month loss of 29 units. This sharp decline in profitability is particularly concerning, as the company has also reported no sales across any analyzed timeframe, suggesting a highly unconventional and perhaps risky operational approach. The company's stock prices mirror this financial volatility, with the stock trading at 48 units over the past five years but experiencing a dramatic drop to 36 units within the last year. Over a decade, the stock price was at 40 units, reflecting long-term concerns regarding the company's stability and future outlook. Such performance poses questions about the sustainability of the business and whether it can rebound from these recent setbacks.
Currently valued at ₹48,293 crore, the company's stock price stands at ₹4,328. Over the years, it has seen significant fluctuations, with its price ranging from ₹4,422 / 2,647, a reflection of its sensitivity to market conditions and investor sentiment. The stock's Price-to-Earnings (P/E) ratio, currently at 45.9, suggests that it is highly valued in comparison to its earnings, possibly indicating strong future growth expectations or a high level of investor confidence. The book value per share is ₹830, which represents the net asset value of the company per share. The dividend yield of 0.42% provides some return to investors, though it may not be the primary attraction for those investing in the stock. The company's Return on Capital Employed (ROCE) is 16.1%, pointing to efficient use of its capital base to generate profits. The Return on Equity (ROE), at 12.0%, highlights the profitability for shareholders. The company's financial health is further underscored by its very low debt-to-equity ratio of 0.01, signaling conservative financial management. However, the net cash flow is negative at ₹27.6 crore, indicating possible liquidity concerns or heavy investment. The Piotroski score of 8.00 provides a snapshot of its financial stability, while the Graham Number, estimated at ₹1,334, offers an intrinsic value benchmark. With a Price-to-Book (P/B) ratio of 5.21, the stock seems to be trading at a premium relative to its book value, which could signal strong market expectations or overvaluation risks.