Highlights
- Sales over the Year and quarter: The company’s sales declined by -66.56 % over the year, substantial increase in net sales/revenue by 7.7 %.
- Income over the Year and quarter: There has been decline in other income over the past year which is -95.9 %, Marginal decrease of -3.95% in other income during this quarter.
- Profit over the Year and quarter: Challenges in sustaining profitability for Bharat Forge Ltd. Profit dropped by -75.81 % Year to Year, Bharat Forge Ltd’s profitability dropped by -10.74 % Quarter to Quarter.
- EPS over the Year and quarter: EPS increased by 108.64 % Year to Year. EPS decreased by -10.74 % 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. 12453.76 Cr | Rs. 3866.409 Cr | Rs. 4164.206 Cr | + 7.7 % | -66.56 % |
Expenses | Rs. 10526.05 Cr | Rs. 3168.55 Cr | Rs. 3520.93 Cr | + 11.12 % | -66.55 % |
Operating Profit | Rs. 1927.71 Cr | Rs. 697.86 Cr | Rs. 643.28 Cr | -7.82 % | -66.63 % |
OPM % | 15.48 % | 18.05 % | 15.45 % | -2.6 % | -0.03 % |
Other Income | Rs. 1352.22 Cr | Rs. 57.67 Cr | Rs. 55.39 Cr | -3.95 % | -95.9 % |
Interest | Rs. 1195.56 Cr | Rs. 136.82 Cr | Rs. 115.52 Cr | -15.57 % | -90.34 % |
Depreciation | Rs. 926.3 Cr | Rs. 223.67 Cr | Rs. 207.11 Cr | -7.4 % | -77.64 % |
Profit before tax | Rs. 1158.07 Cr | Rs. 395.04 Cr | Rs. 376.04 Cr | -4.81 % | -67.53 % |
Tax % | 32.37 % | 35.74 % | 37.97 % | + 2.23 % | + 5.6 % |
Net Profit | Rs. 938.81 Cr | Rs. 254.45 Cr | Rs. 227.12 Cr | -10.74 % | -75.81 % |
EPS in Rs | Rs. 2.43 | Rs. 5.68 | Rs. 5.07 | -10.74 % | + 108.64 % |
Today, we’re looking at Bharat Forge Ltd’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -66.56 %. However, it did see a marginal increase of 7.7 % from the previous quarter. Expenses ticked up slightly by 11.12 % quarter-on-quarter, aligning with the annual decline of -66.55 %. Operating profit, while down -66.63 % compared to last year, faced a quarter-on-quarter dip of -7.82 %, 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 -0.03 %, but a shrinkage of -2.6 % sequentially. Other income fell by -3.95 % compared to the last quarter, despite an annual decline of -95.9 %. Interest expenses dropped significantly by -15.57 % from the previous quarter, yet the year-over-year decrease remains at a moderate -90.34 %. Depreciation costs fell by -7.4 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -77.64 %. Profit before tax declined annually by -67.53 % but saw a reduction from the preceding quarter by -4.81 %.
Tax expenses as a percentage of profits increased slightly by 5.6 % compared to last year, with a more notable quarter-on-quarter increase of 2.23 %. Net profit fell by -75.81 % year-on-year but witnessed a -10.74 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 108.64 % but a quarterly fall of -10.74 %. In summary, Bharat Forge 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. 12453.76 Cr | Rs. 3866.409 Cr | Rs. 4164.206 Cr | + 7.7 % | -66.56 % |
Expenses | Rs. 10526.05 Cr | Rs. 3168.55 Cr | Rs. 3520.93 Cr | + 11.12 % | -66.55 % |
Operating Profit | Rs. 1927.71 Cr | Rs. 697.86 Cr | Rs. 643.28 Cr | -7.82 % | -66.63 % |
Net Profit | Rs. 938.81 Cr | Rs. 254.45 Cr | Rs. 227.12 Cr | -10.74 % | -75.81 % |
EPS in Rs | Rs. 2.43 | Rs. 5.68 | Rs. 5.07 | -10.74 % | + 108.64 % |
In reviewing Bharat Forge Ltd’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -66.56 % year-on-year, however, there was a minor increase of 7.7 % from the previous quarter. Expenses decreased by -66.55 % compared to the previous year, with a 11.12 % increase quarter-on-quarter. Operating Profit dropped by -66.63 % annually, and saw a -7.82 % decrease from the last quarter.
Net Profit showed yearly decrease of -75.81 %, and experienced a -10.74 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 108.64 % annually, however dipped by -10.74 % compared to the last quarter. In essence, while Bharat Forge 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.