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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 27.69 % in the past year, substantial increase in net sales/revenue by 4.62 %.
- Income over the Year and quarter: There has been decline in other income over the past year which is -1.69 %, Marginal increase in other income during this quarter, up by 110.29%.
- Profit over the Year and quarter: Significant improvement in profitability for Sterling Tools Ltd.. Notable increase of 40.87 % in net profit Year to Year, Sterling Tools Ltd.’s profitability increased by 13.29 % in this quarter.
- EPS over the Year and quarter: EPS increased by 40.77 % Year to Year. EPS increased by 13.3 % in previous quarter. Positive impact on shareholders.
Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
---|---|---|---|---|---|
Sales | Rs. 220.602 Cr | Rs. 269.249 Cr | Rs. 281.68 Cr | + 4.62 % | + 27.69 % |
Expenses | Rs. 195.16 Cr | Rs. 238.39 Cr | Rs. 249.56 Cr | + 4.69 % | + 27.87 % |
Operating Profit | Rs. 25.44 Cr | Rs. 30.86 Cr | Rs. 32.12 Cr | + 4.08 % | + 26.26 % |
OPM % | 11.53 % | 11.46 % | 11.4 % | -0.06 % | -0.13 % |
Other Income | Rs. 2.017 Cr | Rs. 0.943 Cr | Rs. 1.983 Cr | + 110.29 % | -1.69 % |
Interest | Rs. 2.46 Cr | Rs. 2.22 Cr | Rs. 2.49 Cr | + 12.16 % | + 1.22 % |
Depreciation | Rs. 8.06 Cr | Rs. 8.27 Cr | Rs. 7.68 Cr | -7.13 % | -4.71 % |
Profit before tax | Rs. 16.94 Cr | Rs. 21.31 Cr | Rs. 23.93 Cr | + 12.29 % | + 41.26 % |
Tax % | 22.87 % | 23.77 % | 23.08 % | -0.69 % | + 0.21 % |
Net Profit | Rs. 13.07 Cr | Rs. 16.25 Cr | Rs. 18.41 Cr | + 13.29 % | + 40.86 % |
EPS in Rs | Rs. 3.63 | Rs. 4.51 | Rs. 5.09 | + 12.86 % | + 40.22 % |
Today, we’re looking at Sterling Tools 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 27.69 %. However, it did see a marginal increase of 4.62 % from the previous quarter. Expenses ticked up slightly by 4.69 % quarter-on-quarter, aligning with the annual rise of 27.87 %. Operating profit, while up 26.26 % compared to last year, faced a quarter-on-quarter increase of 4.08 %, 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 -0.13 %, but a shrinkage of -0.06 % sequentially. Other income rose by 110.29 % compared to the last quarter, despite an annual decline of -1.69 %. Interest expenses surged remarkably by 12.16 % from the previous quarter, yet the year-over-year increase remains at a moderate 1.22 %. Depreciation costs fell by -7.13 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -4.71 %. Profit before tax grew annually by 41.26 % but saw an increase from the preceding quarter by 12.29 %.
Tax expenses as a percentage of profits increased slightly by 0.21 % compared to last year, with a more notable quarter-on-quarter decrease of -0.69 %. Net profit rose by 40.86 % year-on-year but experienced a 13.29 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 40.22 % but a quarterly rise of 12.86 %. In summary, Sterling Tools 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. 220.602 Cr | Rs. 269.249 Cr | Rs. 281.68 Cr | + 4.62 % | + 27.69 % |
Expenses | Rs. 195.16 Cr | Rs. 238.39 Cr | Rs. 249.56 Cr | + 4.69 % | + 27.87 % |
Operating Profit | Rs. 25.44 Cr | Rs. 30.86 Cr | Rs. 32.12 Cr | + 4.08 % | + 26.26 % |
Net Profit | Rs. 13.07 Cr | Rs. 16.25 Cr | Rs. 18.41 Cr | + 13.29 % | + 40.86 % |
EPS in Rs | Rs. 3.63 | Rs. 4.51 | Rs. 5.09 | + 12.86 % | + 40.22 % |
In reviewing Sterling Tools Ltd.’s 2024(Q1) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 27.69 % year-on-year growth, however, there was a minor increase of 4.62 % from the previous quarter. Expenses rose by 27.87 % compared to the previous year, with a 4.69 % increase quarter-on-quarter. Operating Profit surged by 26.26 % annually, and saw a 4.08 % increase from the last quarter.
Net Profit showed yearly increase of 40.86 %, and experienced a 13.29 % increase from the previous quarter. Earnings Per Share (EPS) rose by 40.22 % annually, however rose by 12.86 % compared to the last quarter. In essence, while Sterling Tools Ltd. 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.