Highlights
- Sales over the Year and quarter: The company’s sales declined by -0.45 % over the year, decrease in net sales/revenue by -1.96 %.
- 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 3.53 %. Marginal decrease of -22.12% in other income during this quarter.
- Profit over the Year and quarter: Significant improvement in profitability for Nelco Ltd. Notable increase of 7.77 % in net profit Year to Year, Nelco Ltd’s profitability dropped by -0.81 % Quarter to Quarter.
- EPS over the Year and quarter: EPS increased by 7.66 % Year to Year. EPS decreased by -0.74 % 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. 81.98 Cr | Rs. 83.24 Cr | Rs. 81.61 Cr | -1.96 % | -0.45 % |
Expenses | Rs. 65.16 Cr | Rs. 66.92 Cr | Rs. 66.89 Cr | -0.04 % | + 2.66 % |
Operating Profit | Rs. 16.82 Cr | Rs. 16.32 Cr | Rs. 14.72 Cr | -9.8 % | -12.49 % |
OPM % | 20.52 % | 19.61 % | 18.04 % | -1.57 % | -2.48 % |
Other Income | Rs. 0.85 Cr | Rs. 1.13 Cr | Rs. 0.88 Cr | -22.12 % | + 3.53 % |
Interest | Rs. 2.07 Cr | Rs. 1.91 Cr | Rs. 1.44 Cr | -24.61 % | -30.43 % |
Depreciation | Rs. 7.95 Cr | Rs. 5.85 Cr | Rs. 5.95 Cr | + 1.71 % | -25.16 % |
Profit before tax | Rs. 7.65 Cr | Rs. 9.69 Cr | Rs. 8.21 Cr | -15.27 % | + 7.32 % |
Tax % | 26.01 % | 37.66 % | 26.18 % | -11.48 % | + 0.17 % |
Net Profit | Rs. 5.66 Cr | Rs. 6.15 Cr | Rs. 6.1 Cr | -0.81 % | + 7.77 % |
EPS in Rs | Rs. 2.48 | Rs. 2.69 | Rs. 2.67 | -0.74 % | + 7.66 % |
Today, we’re looking at Nelco 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 -0.45 %. However, it did see a marginal slip of -1.96 % from the previous quarter. Expenses decreased slightly by -0.04 % quarter-on-quarter, aligning with the annual rise of 2.66 %. Operating profit, while down -12.49 % compared to last year, faced a quarter-on-quarter dip of -9.8 %, 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 -2.48 %, but a shrinkage of -1.57 % sequentially. Other income fell by -22.12 % compared to the last quarter, despite an annual growth of 3.53 %. Interest expenses dropped significantly by -24.61 % from the previous quarter, yet the year-over-year decrease remains at a moderate -30.43 %. Depreciation costs climbed by 1.71 % quarter-on-quarter, yet on an annual scale, they experienced a reduction of -25.16 %. Profit before tax grew annually by 7.32 % but saw a reduction from the preceding quarter by -15.27 %.
Tax expenses as a percentage of profits increased slightly by 0.17 % compared to last year, with a more notable quarter-on-quarter decrease of -11.48 %. Net profit rose by 7.77 % year-on-year but witnessed a -0.81 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 7.66 % but a quarterly fall of -0.74 %. In summary, Nelco 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. 81.98 Cr | Rs. 83.24 Cr | Rs. 81.61 Cr | -1.96 % | -0.45 % |
Expenses | Rs. 65.16 Cr | Rs. 66.92 Cr | Rs. 66.89 Cr | -0.04 % | + 2.66 % |
Operating Profit | Rs. 16.82 Cr | Rs. 16.32 Cr | Rs. 14.72 Cr | -9.8 % | -12.49 % |
Net Profit | Rs. 5.66 Cr | Rs. 6.15 Cr | Rs. 6.1 Cr | -0.81 % | + 7.77 % |
EPS in Rs | Rs. 2.48 | Rs. 2.69 | Rs. 2.67 | -0.74 % | + 7.66 % |
In reviewing Nelco Ltd’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -0.45 % year-on-year, although there was a slight dip of -1.96 % from the previous quarter. Expenses rose by 2.66 % compared to the previous year, with a decrease of -0.04 % quarter-on-quarter. Operating Profit dropped by -12.49 % annually, and saw a -9.8 % decrease from the last quarter.
Net Profit showed yearly increase of 7.77 %, and experienced a -0.81 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 7.66 % annually, however dipped by -0.74 % compared to the last quarter. In essence, while Nelco Ltd exhibits strong annual growth indicators, short-term fluctuations suggest the need for agile strategies to navigate market dynamics effectively. That’s all for now in the financial sector.