Highlights
- Sales over the Year and quarter: The company experienced a substantial growth of 16.3 % in the past year, substantial increase in net sales/revenue by 14.58 %.
- Income over the Year and quarter: There has been decline in other income over the past year which is -0.77 %, Marginal decrease of -24.78% in other income during this quarter.
- Profit over the Year and quarter: Significant improvement in profitability for CARE Ratings Limited. Notable increase of 21.82 % in net profit Year to Year, CARE Ratings Limited’s profitability increased by 2.62 % in this quarter.
- EPS over the Year and quarter: EPS increased by 22.27 % Year to Year. EPS increased by 2.41 % in previous quarter. Positive impact on shareholders.
| Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
|---|---|---|---|---|---|
| Sales | Rs. 77.51 Cr | Rs. 78.677 Cr | Rs. 90.148 Cr | + 14.58 % | + 16.3 % |
| Expenses | Rs. 50.19 Cr | Rs. 55.32 Cr | Rs. 61.11 Cr | + 10.47 % | + 21.76 % |
| Operating Profit | Rs. 27.32 Cr | Rs. 23.36 Cr | Rs. 29.04 Cr | + 24.32 % | + 6.3 % |
| OPM % | 35.25 % | 29.69 % | 32.21 % | + 2.52 % | -3.04 % |
| Other Income | Rs. 10.37 Cr | Rs. 13.68 Cr | Rs. 10.29 Cr | -24.78 % | -0.77 % |
| Interest | Rs. 0.54 Cr | Rs. 0.47 Cr | Rs. 0.46 Cr | -2.13 % | -14.81 % |
| Depreciation | Rs. 3.06 Cr | Rs. 2.61 Cr | Rs. 2.67 Cr | + 2.3 % | -12.75 % |
| Profit before tax | Rs. 34.09 Cr | Rs. 33.96 Cr | Rs. 36.2 Cr | + 6.6 % | + 6.19 % |
| Tax % | 40.88 % | 29.56 % | 32.16 % | + 2.6 % | -8.72 % |
| Net Profit | Rs. 20.15 Cr | Rs. 23.92 Cr | Rs. 24.55 Cr | + 2.63 % | + 21.84 % |
| EPS in Rs | Rs. 6.6 | Rs. 7.88 | Rs. 8.07 | + 2.41 % | + 22.27 % |
Today, we’re looking at CARE Ratings Limited’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a robust year-over-year sales growth of 16.3 %. However, it did see a marginal increase of 14.58 % from the previous quarter. Expenses ticked up slightly by 10.47 % quarter-on-quarter, aligning with the annual rise of 21.76 %. Operating profit, while up 6.3 % compared to last year, faced a quarter-on-quarter increase of 24.32 %, 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 -3.04 %, but an expansion of 2.52 % sequentially. Other income fell by -24.78 % compared to the last quarter, despite an annual decline of -0.77 %. Interest expenses dropped significantly by -2.13 % from the previous quarter, yet the year-over-year decrease remains at a moderate -14.81 %. Depreciation costs climbed by 2.3 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -12.75 %. Profit before tax grew annually by 6.19 % but saw an increase from the preceding quarter by 6.6 %.
Tax expenses as a percentage of profits decreased slightly by -8.72 % compared to last year, with a more notable quarter-on-quarter increase of 2.6 %. Net profit rose by 21.84 % year-on-year but experienced a 2.63 % expansion from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 22.27 % but a quarterly rise of 2.41 %. In summary, CARE Ratings 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. 77.51 Cr | Rs. 78.677 Cr | Rs. 90.148 Cr | + 14.58 % | + 16.3 % |
| Expenses | Rs. 50.19 Cr | Rs. 55.32 Cr | Rs. 61.11 Cr | + 10.47 % | + 21.76 % |
| Operating Profit | Rs. 27.32 Cr | Rs. 23.36 Cr | Rs. 29.04 Cr | + 24.32 % | + 6.3 % |
| Net Profit | Rs. 20.15 Cr | Rs. 23.92 Cr | Rs. 24.55 Cr | + 2.63 % | + 21.84 % |
| EPS in Rs | Rs. 6.6 | Rs. 7.88 | Rs. 8.07 | + 2.41 % | + 22.27 % |
In reviewing CARE Ratings Limited’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales saw a robust 16.3 % year-on-year growth, however, there was a minor increase of 14.58 % from the previous quarter. Expenses rose by 21.76 % compared to the previous year, with a 10.47 % increase quarter-on-quarter. Operating Profit surged by 6.3 % annually, and saw a 24.32 % increase from the last quarter.
Net Profit showed yearly increase of 21.84 %, and experienced a 2.63 % increase from the previous quarter. Earnings Per Share (EPS) rose by 22.27 % annually, however rose by 2.41 % compared to the last quarter. In essence, while CARE Ratings 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.
