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HFCL ‘s Q3 2024-25 Latest News: Revenue Decreases by 1.97% Year-on-Year

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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 -7.47 %.
🔹 Income over the Year and quarter: There has been decline in other income over the past year which is -57.11 %, Marginal increase in other income during this quarter, up by 47.57%.
🔹 Profit over the Year and quarter: Challenges in sustaining profitability for HFCL Limited. Profit dropped by -11.95 % Year to Year, HFCL Limited’s profitability dropped by -1.02 % Quarter to Quarter.
🔹 EPS over the Year and quarter: EPS declined by -12.07 % Year to Year. EPS increased by 0 % in previous quarter. Positive impact on shareholders.

In our extensive review of HFCL Limited, we incorporate a thorough examination of the company’s market trends, investment risks, and growth opportunities. The analysis highlights how external economic factors, regulatory changes, and technological advancements could impact the company’s future performance. Additionally, it includes a detailed look at the company’s dividend policy and its commitment to returning value to shareholders. This holistic approach to understanding HFCL Limited’s financial and strategic outlook is designed to assist investors in crafting a robust investment portfolio that aligns with their financial goals and risk tolerance.

Metrics Previous Year Previous Quarter Current Quarter Quarter to Quarter Difference Year to Year Difference
Sales Rs. 1032.31 Cr Rs. 1093.61 Cr Rs. 1011.95 Cr -7.47 % -1.97 %
Expenses Rs. 915.58 Cr Rs. 935.37 Cr Rs. 860.1 Cr -8.05 % -6.06 %
Operating Profit Rs. 116.73 Cr Rs. 158.24 Cr Rs. 151.85 Cr -4.04 % + 30.09 %
OPM % 11.31 % 14.47 % 15.01 % + 0.54 % + 3.7 %
Other Income Rs. 46.72 Cr Rs. 13.58 Cr Rs. 20.04 Cr + 47.57 % -57.11 %
Interest Rs. 36.55 Cr Rs. 44.88 Cr Rs. 46.76 Cr + 4.19 % + 27.93 %
Depreciation Rs. 19.27 Cr Rs. 25.48 Cr Rs. 25.52 Cr + 0.16 % + 32.43 %
Profit before tax Rs. 107.63 Cr Rs. 101.46 Cr Rs. 99.61 Cr -1.82 % -7.45 %
Tax % 23.63 % 28.72 % 27.79 % -0.93 % + 4.16 %
Net Profit Rs. 82.43 Cr Rs. 73.33 Cr Rs. 72.58 Cr -1.02 % -11.95 %
EPS in Rs Rs. 0.58 Rs. 0.51 Rs. 0.51 + 0 % -12.07 %


Today, we’re looking at HFCL Limited’s financial performance for the Q3(Dec 2024-25).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 -7.47 % from the previous quarter. Expenses decreased slightly by -8.05 % quarter-on-quarter, aligning with the annual decline of -6.06 %. Operating profit, while up 30.09 % compared to last year, faced a quarter-on-quarter dip of -4.04 %, 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 3.7 %, but an expansion of 0.54 % sequentially. Other income rose by 47.57 % compared to the last quarter, despite an annual decline of -57.11 %. Interest expenses surged remarkably by 4.19 % from the previous quarter, yet the year-over-year increase remains at a moderate 27.93 %. Depreciation costs climbed by 0.16 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 32.43 %. Profit before tax declined annually by -7.45 % but saw a reduction from the preceding quarter by -1.82 %.
Tax expenses as a percentage of profits increased slightly by 4.16 % compared to last year, with a more notable quarter-on-quarter decrease of -0.93 %. Net profit fell by -11.95 % year-on-year but witnessed a -1.02 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -12.07 % but a quarterly rise of 0 %. In summary, HFCL 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. 1032.31 Cr Rs. 1093.61 Cr Rs. 1011.95 Cr -7.47 % -1.97 %
Expenses Rs. 915.58 Cr Rs. 935.37 Cr Rs. 860.1 Cr -8.05 % -6.06 %
Operating Profit Rs. 116.73 Cr Rs. 158.24 Cr Rs. 151.85 Cr -4.04 % + 30.09 %
Net Profit Rs. 82.43 Cr Rs. 73.33 Cr Rs. 72.58 Cr -1.02 % -11.95 %
EPS in Rs Rs. 0.58 Rs. 0.51 Rs. 0.51 + 0 % -12.07 %


In reviewing HFCL Limited’s 2024-25(Q3) 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 -7.47 % from the previous quarter. Expenses decreased by -6.06 % compared to the previous year, with a decrease of -8.05 % quarter-on-quarter. Operating Profit surged by 30.09 % annually, and saw a -4.04 % decrease from the last quarter.
Net Profit showed yearly decrease of -11.95 %, and experienced a -1.02 % decrease from the previous quarter. Earnings Per Share (EPS) fell by -12.07 % annually, however rose by 0 % compared to the last quarter. In essence, while HFCL Limited faces strong annual decline 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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