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Highlights
- The presented financial data is Consolidated to provide a comprehensive overview of the company performance.
- Sales over the Year and quarter: The company experienced a substantial growth of 21.86 % in the past year, substantial increase in net sales/revenue by 3.17 %.
- 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 63.72 %. Marginal decrease of -8.02% in other income during this quarter.
- Profit over the Year and quarter: Significant improvement in profitability for Deep Industries Limited. Notable increase of 24.91 % in net profit Year to Year, Deep Industries Limited’s profitability increased by 5.63 % in this quarter.
- EPS over the Year and quarter: EPS increased by 19.38 % Year to Year. EPS increased by 1.05 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 101.316 Cr | Rs. 119.665 Cr | Rs. 123.459 Cr | + 3.17 % | + 21.86 % |
| Expenses | Rs. 58.33 Cr | Rs. 81.83 Cr | Rs. 72.86 Cr | -10.96 % | + 24.91 % |
| Operating Profit | Rs. 42.99 Cr | Rs. 37.84 Cr | Rs. 50.6 Cr | + 33.72 % | + 17.7 % |
| OPM % | 42.43 % | 31.62 % | 40.99 % | + 9.37 % | -1.44 % |
| Other Income | Rs. 6.624 Cr | Rs. 11.79 Cr | Rs. 10.845 Cr | -8.02 % | + 63.72 % |
| Interest | Rs. 1.63 Cr | Rs. 2.92 Cr | Rs. 2.52 Cr | -13.7 % | + 54.6 % |
| Depreciation | Rs. 9.03 Cr | Rs. 7.06 Cr | Rs. 9.82 Cr | + 39.09 % | + 8.75 % |
| Profit before tax | Rs. 38.95 Cr | Rs. 39.65 Cr | Rs. 49.11 Cr | + 23.86 % | + 26.08 % |
| Tax % | 20.38 % | 7.49 % | 21.09 % | + 13.6 % | + 0.71 % |
| Net Profit | Rs. 31.02 Cr | Rs. 36.68 Cr | Rs. 38.74 Cr | + 5.62 % | + 24.89 % |
| EPS in Rs | Rs. 4.85 | Rs. 5.73 | Rs. 5.79 | + 1.05 % | + 19.38 % |
Today, we’re looking at Deep Industries Limited’s financial performance for the Q1(Jun 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 21.86 %. However, it did see a marginal increase of 3.17 % from the previous quarter. Expenses decreased slightly by -10.96 % quarter-on-quarter, aligning with the annual rise of 24.91 %. Operating profit, while up 17.7 % compared to last year, faced a quarter-on-quarter increase of 33.72 %, 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 -1.44 %, but an expansion of 9.37 % sequentially. Other income fell by -8.02 % compared to the last quarter, despite an annual growth of 63.72 %. Interest expenses dropped significantly by -13.7 % from the previous quarter, yet the year-over-year increase remains at a moderate 54.6 %. Depreciation costs climbed by 39.09 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 8.75 %. Profit before tax grew annually by 26.08 % but saw an increase from the preceding quarter by 23.86 %.
Tax expenses as a percentage of profits increased slightly by 0.71 % compared to last year, with a more notable quarter-on-quarter increase of 13.6 %. Net profit rose by 24.89 % year-on-year but experienced a 5.62 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 19.38 % but a quarterly rise of 1.05 %. In summary, Deep Industries 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. 101.316 Cr | Rs. 119.665 Cr | Rs. 123.459 Cr | + 3.17 % | + 21.86 % |
| Expenses | Rs. 58.33 Cr | Rs. 81.83 Cr | Rs. 72.86 Cr | -10.96 % | + 24.91 % |
| Operating Profit | Rs. 42.99 Cr | Rs. 37.84 Cr | Rs. 50.6 Cr | + 33.72 % | + 17.7 % |
| Net Profit | Rs. 31.02 Cr | Rs. 36.68 Cr | Rs. 38.74 Cr | + 5.62 % | + 24.89 % |
| EPS in Rs | Rs. 4.85 | Rs. 5.73 | Rs. 5.79 | + 1.05 % | + 19.38 % |
In reviewing Deep Industries Limited’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 21.86 % year-on-year growth, however, there was a minor increase of 3.17 % from the previous quarter. Expenses rose by 24.91 % compared to the previous year, with a decrease of -10.96 % quarter-on-quarter. Operating Profit surged by 17.7 % annually, and saw a 33.72 % increase from the last quarter.
Net Profit showed yearly increase of 24.89 %, and experienced a 5.62 % increase from the previous quarter. Earnings Per Share (EPS) rose by 19.38 % annually, however rose by 1.05 % compared to the last quarter. In essence, while Deep Industries Limited exhibits strong annual growth 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.
19
3-Year Profit
97
5-Year Profit
0
10-Year Profit
466
Current Price
2,980
Market Cap
Upon examining the financial data for BSE code 543288, it becomes clear that the company achieved a notable five-year profit of 97 percents, which impressively increased to 19 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 25 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 0 percents over the five-year period to just 103 percents in the last year. The ten-year average stock price, which sits at 0 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 ₹2,980 crore and is currently trading at a stock price of ₹466. Over time, the stock has fluctuated between the historical highs and lows of ₹510 / 227, reflecting the market's volatility. With a Price-to-Earnings (P/E) ratio of 23.1, the stock appears highly valued, indicating that investors are willing to pay a premium for its earnings potential. The company's book value per share stands at ₹226, showcasing the underlying asset value. Additionally, the dividend yield is 0.51%, suggesting that the company offers shareholders a moderate return on their investment in the form of dividends. The Return on Capital Employed (ROCE) is 10.3%, indicating the efficiency with which the company generates profit from its capital. Meanwhile, the Return on Equity (ROE) is 8.73%, highlighting the profitability relative to shareholder equity. Despite these figures, the company maintains a very low debt-to-equity ratio of 0.11, signaling minimal leverage. It also reports a net cash flow of ₹6.69 crore, reflecting the company's ability to generate cash. The Piotroski score is 7.00, a measure of the company's financial strength, while the Graham Number estimates the intrinsic value of the stock at ₹321. The Price-to-Book (P/B) ratio of 2.07 further suggests that the stock is trading at a premium relative to its book value, potentially reflecting positive market sentiment or expectations of future growth.
