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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’s sales declined by -37.61 % over the year, substantial increase in net sales/revenue by 14.4 %.
- 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 1330.53 %. Marginal decrease of -24.06% in other income during this quarter.
- Profit over the Year and quarter: Challenges in sustaining profitability for Aarvee Denims & Exports Limited. Profit dropped by -163.73 % Year to Year, Aarvee Denims & Exports Limited’s profitability dropped by -63.4 % Quarter to Quarter.
- EPS over the Year and quarter: EPS declined by -36.35 % Year to Year. EPS decreased by -63.45 % 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. 24.812 Cr | Rs. 13.531 Cr | Rs. 15.479 Cr | + 14.4 % | -37.61 % |
Expenses | Rs. 30.98 Cr | Rs. 24.46 Cr | Rs. 20.15 Cr | -17.62 % | -34.96 % |
Operating Profit | Rs. -6.17 Cr | Rs. -10.93 Cr | Rs. -4.67 Cr | + 57.27 % | + 24.31 % |
OPM % | -24.87 % | -80.78 % | -30.17 % | + 50.61 % | -5.3 % |
Other Income | Rs. 2.394 Cr | Rs. 45.095 Cr | Rs. 34.247 Cr | -24.06 % | + 1330.53 % |
Interest | Rs. 11.74 Cr | Rs. 5.33 Cr | Rs. 3.81 Cr | -28.52 % | -67.55 % |
Depreciation | Rs. 2.75 Cr | Rs. 1.11 Cr | Rs. 1.12 Cr | + 0.9 % | -59.27 % |
Profit before tax | Rs. -18.27 Cr | Rs. 27.73 Cr | Rs. 24.65 Cr | -11.11 % | + 234.92 % |
Tax % | -28.98 % | 18.55 % | 66.46 % | + 47.91 % | + 95.44 % |
Net Profit | Rs. -12.97 Cr | Rs. 22.58 Cr | Rs. 8.27 Cr | -63.37 % | + 163.76 % |
EPS in Rs | Rs. -5.53 | Rs. 9.63 | Rs. 3.52 | -63.45 % | + 163.65 % |
Today, we’re looking at Aarvee Denims & Exports Limited’s financial performance for the Q2(Sep 2024-25).Starting with the top line, the company reported a significant year-over-year sales decline of -37.61 %. However, it did see a marginal increase of 14.4 % from the previous quarter. Expenses decreased slightly by -17.62 % quarter-on-quarter, aligning with the annual decline of -34.96 %. Operating profit, while up 24.31 % compared to last year, faced a quarter-on-quarter increase of 57.27 %, 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 -5.3 %, but an expansion of 50.61 % sequentially. Other income fell by -24.06 % compared to the last quarter, despite an annual growth of 1330.53 %. Interest expenses dropped significantly by -28.52 % from the previous quarter, yet the year-over-year decrease remains at a moderate -67.55 %. Depreciation costs climbed by 0.9 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -59.27 %. Profit before tax grew annually by 234.92 % but saw a reduction from the preceding quarter by -11.11 %.
Tax expenses as a percentage of profits increased slightly by 95.44 % compared to last year, with a more notable quarter-on-quarter increase of 47.91 %. Net profit rose by 163.76 % year-on-year but witnessed a -63.37 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 163.65 % but a quarterly fall of -63.45 %. In summary, Aarvee Denims & Exports 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. 24.812 Cr | Rs. 13.531 Cr | Rs. 15.479 Cr | + 14.4 % | -37.61 % |
Expenses | Rs. 30.98 Cr | Rs. 24.46 Cr | Rs. 20.15 Cr | -17.62 % | -34.96 % |
Operating Profit | Rs. -6.17 Cr | Rs. -10.93 Cr | Rs. -4.67 Cr | + 57.27 % | + 24.31 % |
Net Profit | Rs. -12.97 Cr | Rs. 22.58 Cr | Rs. 8.27 Cr | -63.37 % | + 163.76 % |
EPS in Rs | Rs. -5.53 | Rs. 9.63 | Rs. 3.52 | -63.45 % | + 163.65 % |
In reviewing Aarvee Denims & Exports Limited’s 2024-25(Q2) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -37.61 % year-on-year, however, there was a minor increase of 14.4 % from the previous quarter. Expenses decreased by -34.96 % compared to the previous year, with a decrease of -17.62 % quarter-on-quarter. Operating Profit surged by 24.31 % annually, and saw a 57.27 % increase from the last quarter.
Net Profit showed yearly increase of 163.76 %, and experienced a -63.37 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 163.65 % annually, however dipped by -63.45 % compared to the last quarter. In essence, while Aarvee Denims & Exports 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.
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