Highlights
- Sales over the Year and quarter: The company’s sales declined by -20.50% over the yearDecrease in net sales/revenue by -29.61%
- 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 411.11%Marginal increase in other income during this quarter, up by 27.78%.
- Profit over the Year and quarter: Significant improvement in profitability for Avantel Limited. Notable increase of 25.41% in net profit Year to YearAvantel Limited’s profitability dropped by -25.54% Quarter to Quarter.
- EPS over the Year and quarter: EPS declined by -91.64% Year to Year.EPS decreased by -25.37%. Analysis needed for shareholder value.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 52.53 Cr | Rs. 59.33 Cr | Rs. 41.76 Cr | -29.61% | -20.5% |
| Expenses | Rs. 34.39 Cr | Rs. 34.88 Cr | Rs. 23.61 Cr | -32.31% | -31.35% |
| Operating Profit | Rs. 18.14 Cr | Rs. 24.45 Cr | Rs. 18.15 Cr | -25.77% | + 0.06% |
| OPM % | 34.53 % | 41.21 % | 43.46 % | + 2.25% | + 8.93% |
| Other Income | Rs. 0.09 Cr | Rs. 0.36 Cr | Rs. 0.46 Cr | + 27.78% | + 411.11% |
| Interest | Rs. 1.51 Cr | Rs. 0.87 Cr | Rs. 0.31 Cr | -64.37% | -79.47% |
| Depreciation | Rs. 1.53 Cr | Rs. 1.84 Cr | Rs. 2.45 Cr | + 33.15% | + 60.13% |
| Profit before tax | Rs. 15.19 Cr | Rs. 22.1 Cr | Rs. 15.85 Cr | -28.28% | + 4.34% |
| Tax % | 36.19 % | 26.13 % | 23.34 % | -2.79% | -12.85% |
| Net Profit | Rs. 9.69 Cr | Rs. 16.32 Cr | Rs. 12.15 Cr | -25.55% | + 25.39% |
| EPS in Rs | Rs. 5.98 | Rs. 0.67 | Rs. 0.5 | -25.37% | -91.64% |
Today, we’re looking at Avantel Limited’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -20.5%. However, it did see a marginal slip of -29.61% from the previous quarter.Expenses decreased slightly by -32.31% quarter-on-quarter, aligning with the annual decline of -31.35%. Operating profit, while up 0.06% compared to last year, faced a quarter-on-quarter dip of -25.77%, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % echoes this narrative, showing resilience on an annual basis with an increase of 8.93%, but an expansion of 2.25% sequentially. Other income rose by 27.78% compared to the last quarter,despite an annual growth of 411.11%. Interest expenses dropped significantly by -64.37% from the previous quarter, yet the year-over-year decrease remains at a moderate -79.47%. Depreciation costs climbed by 33.15% quarter-on-quarter, whereas on an annual scale, they saw an increase of 60.13%. Profit before tax grew annually by 4.34% but saw a reduction from the preceding quarter by -28.28%.
Tax expenses as a percentage of profits decreased slightly by -12.85% compared to last year, with a more notable quarter-on-quarter decrease of -2.79%. Net profit rose by 25.39% year-on-year but witnessed a -25.55% contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -91.64% but a quarterly fall of -25.37%. In summary, Avantel 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. 52.53 Cr | Rs. 59.33 Cr | Rs. 41.76 Cr | -29.61% | -20.5% |
| Expenses | Rs. 34.39 Cr | Rs. 34.88 Cr | Rs. 23.61 Cr | -32.31% | -31.35% |
| Operating Profit | Rs. 18.14 Cr | Rs. 24.45 Cr | Rs. 18.15 Cr | -25.77% | + 0.06% |
| Net Profit | Rs. 9.69 Cr | Rs. 16.32 Cr | Rs. 12.15 Cr | -25.55% | + 25.39% |
| EPS in Rs | Rs. 5.98 | Rs. 0.67 | Rs. 0.5 | -25.37% | -91.64% |
In reviewing Avantel Limited’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -20.5% year-on-year, although there was a slight dip of -29.61% from the previous quarter.Expenses decreased by -31.35% compared to the previous year, with a decrease of -32.31% quarter-on-quarter. Operating Profit surged by 0.06% annually, and saw a -25.77% decrease from the last quarter.
Net Profit showed yearly increase of 25.39%, and experienced a -25.55% decrease from the previous quarter.Earnings Per Share (EPS) fell by -91.64% annually, however dipped by -25.37% compared to the last quarter. In essence, while Avantel 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.
