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Dalmia Bharat ‘s Q2 Results: Profit Drops by 60.16% YoY

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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’s sales declined by -1.97 % over the year, decrease in net sales/revenue by -14.75 %.
  • Income over the Year and quarter: There has been decline in other income over the past year which is -14.12 %, Marginal increase in other income during this quarter, up by 46%.
  • Profit over the Year and quarter: Challenges in sustaining profitability for Dalmia Bharat Limited. Profit dropped by -60.16 % Year to Year, Dalmia Bharat Limited’s profitability dropped by -66.21 % Quarter to Quarter.
  • EPS over the Year and quarter: EPS declined by -61.11 % Year to Year. EPS decreased by -67.42 % in previous quarter. Analysis needed for shareholder value.

The comprehensive analytics outlining the performance and outlook of Dalmia Bharat Limited‘s stock. This analysis encompasses various metrics including stock performance, investor sentiment, market trends, future outlook, risk factors, investment opportunities, long-term strategy, dividend policy, analyst insights, and the overall risk-reward profile. These insights aim to provide investors with a holistic understanding of the company”s stock, enabling informed decision-making and strategic investment planning.

Metrics Previous Year Previous Quarter Current Quarter Quarter to Quarter Difference Year to Year Difference
Sales Rs. 3149 Cr Rs. 3621 Cr Rs. 3087 Cr -14.75 % -1.97 %
Expenses Rs. 2560 Cr Rs. 2952 Cr Rs. 2653 Cr -10.13 % + 3.63 %
Operating Profit Rs. 589 Cr Rs. 669 Cr Rs. 434 Cr -35.13 % -26.32 %
OPM % 18.7 % 18.48 % 14.06 % -4.42 % -4.64 %
Other Income Rs. 85 Cr Rs. 50 Cr Rs. 73 Cr + 46 % -14.12 %
Interest Rs. 101 Cr Rs. 95 Cr Rs. 98 Cr + 3.16 % -2.97 %
Depreciation Rs. 401 Cr Rs. 317 Cr Rs. 336 Cr + 5.99 % -16.21 %
Profit before tax Rs. 172 Cr Rs. 307 Cr Rs. 73 Cr -76.22 % -57.56 %
Tax % 27.91 % 25.26 % 32.88 % + 7.62 % + 4.97 %
Net Profit Rs. 123 Cr Rs. 145 Cr Rs. 49 Cr -66.21 % -60.16 %
EPS in Rs Rs. 6.29 Rs. 7.52 Rs. 2.45 -67.42 % -61.05 %


Today, we’re looking at Dalmia Bharat Limited’s financial performance for the Q2(Sep 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -1.97 %. However, it did see a marginal slip of -14.75 % from the previous quarter. Expenses decreased slightly by -10.13 % quarter-on-quarter, aligning with the annual rise of 3.63 %. Operating profit, while down -26.32 % compared to last year, faced a quarter-on-quarter dip of -35.13 %, 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 -4.64 %, but a shrinkage of -4.42 % sequentially. Other income rose by 46 % compared to the last quarter, despite an annual decline of -14.12 %. Interest expenses surged remarkably by 3.16 % from the previous quarter, yet the year-over-year decrease remains at a moderate -2.97 %. Depreciation costs climbed by 5.99 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -16.21 %. Profit before tax declined annually by -57.56 % but saw a reduction from the preceding quarter by -76.22 %.
Tax expenses as a percentage of profits increased slightly by 4.97 % compared to last year, with a more notable quarter-on-quarter increase of 7.62 %. Net profit fell by -60.16 % year-on-year but witnessed a -66.21 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -61.05 % but a quarterly fall of -67.42 %. In summary, Dalmia Bharat 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. 3149 Cr Rs. 3621 Cr Rs. 3087 Cr -14.75 % -1.97 %
Expenses Rs. 2560 Cr Rs. 2952 Cr Rs. 2653 Cr -10.13 % + 3.63 %
Operating Profit Rs. 589 Cr Rs. 669 Cr Rs. 434 Cr -35.13 % -26.32 %
Net Profit Rs. 123 Cr Rs. 145 Cr Rs. 49 Cr -66.21 % -60.16 %
EPS in Rs Rs. 6.29 Rs. 7.52 Rs. 2.45 -67.42 % -61.05 %


In reviewing Dalmia Bharat Limited’s 2024(Q2) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -1.97 % year-on-year, although there was a slight dip of -14.75 % from the previous quarter. Expenses rose by 3.63 % compared to the previous year, with a decrease of -10.13 % quarter-on-quarter. Operating Profit dropped by -26.32 % annually, and saw a -35.13 % decrease from the last quarter.
Net Profit showed yearly decrease of -60.16 %, and experienced a -66.21 % decrease from the previous quarter. Earnings Per Share (EPS) fell by -61.05 % annually, however dipped by -67.42 % compared to the last quarter. In essence, while Dalmia Bharat Limited 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.

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