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Highlights
- The presented financial data is Standalone to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company experienced a substantial growth of 2.24 % in the past year, substantial increase in net sales/revenue by 18.04 %.
- 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 40.54 %. Marginal decrease of -64.86% in other income during this quarter.
- Profit over the Year and quarter: Challenges in sustaining profitability for Timex Group India Ltd. Profit dropped by -42.82 % Year to Year, Timex Group India Ltd’s profitability dropped by -65.68 % Quarter to Quarter.
- EPS over the Year and quarter: EPS declined by -75.00 % Year to Year. EPS decreased by -82.86 % in previous quarter. Analysis needed for shareholder value.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 106.29 Cr | Rs. 92.06 Cr | Rs. 108.67 Cr | + 18.04 % | + 2.24 % |
| Expenses | Rs. 98.97 Cr | Rs. 82.37 Cr | Rs. 104.43 Cr | + 26.78 % | + 5.52 % |
| Operating Profit | Rs. 7.32 Cr | Rs. 9.69 Cr | Rs. 4.24 Cr | -56.24 % | -42.08 % |
| OPM % | 6.89 % | 10.53 % | 3.9 % | -6.63 % | -2.99 % |
| Other Income | Rs. 0.37 Cr | Rs. 1.48 Cr | Rs. 0.52 Cr | -64.86 % | + 40.54 % |
| Interest | Rs. 1.13 Cr | Rs. 0.88 Cr | Rs. 0.66 Cr | -25 % | -41.59 % |
| Depreciation | Rs. 0.89 Cr | Rs. 0.91 Cr | Rs. 0.85 Cr | -6.59 % | -4.49 % |
| Profit before tax | Rs. 5.67 Cr | Rs. 9.38 Cr | Rs. 3.25 Cr | -65.35 % | -42.68 % |
| Tax % | 25.04 % | 24.52 % | 25.23 % | + 0.71 % | + 0.19 % |
| Net Profit | Rs. 4.25 Cr | Rs. 7.08 Cr | Rs. 2.43 Cr | -65.68 % | -42.82 % |
| EPS in Rs | Rs. 0.24 | Rs. 0.35 | Rs. 0.06 | -82.86 % | -75 % |
Today, we’re looking at Timex Group India Ltd’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 2.24 %. However, it did see a marginal increase of 18.04 % from the previous quarter. Expenses ticked up slightly by 26.78 % quarter-on-quarter, aligning with the annual rise of 5.52 %. Operating profit, while down -42.08 % compared to last year, faced a quarter-on-quarter dip of -56.24 %, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -2.99 %, but a shrinkage of -6.63 % sequentially. Other income fell by -64.86 % compared to the last quarter, despite an annual growth of 40.54 %. Interest expenses dropped significantly by -25 % from the previous quarter, yet the year-over-year decrease remains at a moderate -41.59 %. Depreciation costs fell by -6.59 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -4.49 %. Profit before tax declined annually by -42.68 % but saw a reduction from the preceding quarter by -65.35 %.
Tax expenses as a percentage of profits increased slightly by 0.19 % compared to last year, with a more notable quarter-on-quarter increase of 0.71 %. Net profit fell by -42.82 % year-on-year but witnessed a -65.68 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -75 % but a quarterly fall of -82.86 %. In summary, Timex Group India Ltd’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. 106.29 Cr | Rs. 92.06 Cr | Rs. 108.67 Cr | + 18.04 % | + 2.24 % |
| Expenses | Rs. 98.97 Cr | Rs. 82.37 Cr | Rs. 104.43 Cr | + 26.78 % | + 5.52 % |
| Operating Profit | Rs. 7.32 Cr | Rs. 9.69 Cr | Rs. 4.24 Cr | -56.24 % | -42.08 % |
| Net Profit | Rs. 4.25 Cr | Rs. 7.08 Cr | Rs. 2.43 Cr | -65.68 % | -42.82 % |
| EPS in Rs | Rs. 0.24 | Rs. 0.35 | Rs. 0.06 | -82.86 % | -75 % |
In reviewing Timex Group India Ltd’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 2.24 % year-on-year growth, however, there was a minor increase of 18.04 % from the previous quarter. Expenses rose by 5.52 % compared to the previous year, with a 26.78 % increase quarter-on-quarter. Operating Profit dropped by -42.08 % annually, and saw a -56.24 % decrease from the last quarter.
Net Profit showed yearly decrease of -42.82 %, and experienced a -65.68 % decrease from the previous quarter. Earnings Per Share (EPS) fell by -75 % annually, however dipped by -82.86 % compared to the last quarter. In essence, while Timex Group India Ltd faces strong annual decline indicators, short-term fluctuations suggest the need for agile strategies to navigate market dynamics effectively. That’s all for now in the financial sector.
66
3-Year Profit
23
5-Year Profit
10
10-Year Profit
160
Current Price
1,610
Market Cap
Upon examining the financial data for BSE code 500414, it becomes clear that the company achieved a notable five-year profit of 23 percents, which impressively increased to 66 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 -17 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 41 percents over the five-year period to just 2 percents in the last year. The ten-year average stock price, which sits at 28 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.
Currently valued at ₹1,610 crore, the company's stock price stands at ₹160. Over the years, it has seen significant fluctuations, with its price ranging from ₹203 / 113, a reflection of its sensitivity to market conditions and investor sentiment. The stock's Price-to-Earnings (P/E) ratio, currently at 77.3, 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 ₹8.05, which represents the net asset value of the company per share. The dividend yield of 0.00% 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 33.7%, pointing to efficient use of its capital base to generate profits. The Return on Equity (ROE), at 61.9%, highlights the profitability for shareholders. The company's financial health is further underscored by its very low debt-to-equity ratio of 0.12, signaling conservative financial management. However, the net cash flow is negative at ₹2.63 crore, indicating possible liquidity concerns or heavy investment. The Piotroski score of 7.00 provides a snapshot of its financial stability, while the Graham Number, estimated at ₹19.3, offers an intrinsic value benchmark. With a Price-to-Book (P/B) ratio of 19.8, the stock seems to be trading at a premium relative to its book value, which could signal strong market expectations or overvaluation risks.
