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Highlights
- Sales over the Year and quarter: The company’s sales declined by -6.38% over the yearDecrease in net sales/revenue by -0.09%
- Income over the Year and quarter: There has been decline in other income over the past year which is -16.88% Marginal decrease of -24.78% in other income during this quarter
- Profit over the Year and quarter: Challenges in sustaining profitability for Vedanta Limited. Profit dropped by -27.36% Year to YearVedanta Limited’s profitability dropped by -20.68% Quarter to Quarter.
- EPS over the Year and quarter: EPS declined by -27.22% Year to Year.EPS decreased by -31.92%. Analysis needed for shareholder value.
Metrics | Previous Year | Previous Quarter | Current Quarter | Quarter to Quarter Difference | Year to Year Difference |
---|---|---|---|---|---|
Sales | Rs. 37930 Cr | Rs. 35541 Cr | Rs. 35509 Cr | -0.09% | -6.38% |
Expenses | Rs. 28471 Cr | Rs. 27010 Cr | Rs. 26741 Cr | -1% | -6.08% |
Operating Profit | Rs. 9459 Cr | Rs. 8531 Cr | Rs. 8768 Cr | + 2.78% | -7.31% |
OPM % | 24.94 % | 24 % | 24.69 % | + 0.69% | -0.25% |
Other Income | Rs. 705 Cr | Rs. 779 Cr | Rs. 586 Cr | -24.78% | -16.88% |
Interest | Rs. 1805 Cr | Rs. 2417 Cr | Rs. 2415 Cr | -0.08% | + 33.8% |
Depreciation | Rs. 2765 Cr | Rs. 2788 Cr | Rs. 2743 Cr | -1.61% | -0.8% |
Profit before tax | Rs. 5594 Cr | Rs. 4105 Cr | Rs. 4196 Cr | + 2.22% | -24.99% |
Tax % | 26.44 % | 30.13 % | 43.08 % | + 12.95% | + 16.64% |
Net Profit | Rs. 3132 Cr | Rs. 2868 Cr | Rs. 2275 Cr | -20.68% | -27.36% |
EPS in Rs | Rs. 5.07 | Rs. 5.42 | Rs. 3.69 | -31.92% | -27.22% |
Today, we’re looking at Vedanta Limited’s financial performance for the Q4(Mar 2024).Starting with the top line, the company reported a significant year-over-year sales decline of -6.38%. However, it did see a marginal slip of -0.09% from the previous quarter.Expenses decreased slightly by -1% quarter-on-quarter, aligning with the annual decline of -6.08%. Operating profit, while down -7.31% compared to last year,faced a quarter-on-quarter increase of 2.78%, 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 -0.25%, but an expansion of 0.69% sequentially. Other income fell by -24.78% compared to the last quarter, despite an annual decline of -16.88%. Interest expenses dropped significantly by -0.08% from the previous quarter, yet the year-over-year increase remains at a moderate 33.8%. Depreciation costs fell by -1.61% quarter-on-quarter, yet on an annual scale, they experienced a reduction of -0.8%. Profit before tax declined annually by -24.99%but saw an increase from the preceding quarter by 2.22%.
Tax expenses as a percentage of profits increased slightly by 16.64% compared to last year, with a more notable quarter-on-quarter increase of 12.95%. Net profit fell by -27.36% year-on-yearbut witnessed a -20.68% contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual downturn of -27.22% but a quarterly fall of -31.92%. In summary, Vedanta 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. 37930 Cr | Rs. 35541 Cr | Rs. 35509 Cr | -0.09% | -6.38% |
Expenses | Rs. 28471 Cr | Rs. 27010 Cr | Rs. 26741 Cr | -1% | -6.08% |
Operating Profit | Rs. 9459 Cr | Rs. 8531 Cr | Rs. 8768 Cr | + 2.78% | -7.31% |
Net Profit | Rs. 3132 Cr | Rs. 2868 Cr | Rs. 2275 Cr | -20.68% | -27.36% |
EPS in Rs | Rs. 5.07 | Rs. 5.42 | Rs. 3.69 | -31.92% | -27.22% |
In reviewing Vedanta Limited’s 2024(Q4) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -6.38% year-on-year, although there was a slight dip of -0.09% from the previous quarter.Expenses decreased by -6.08% compared to the previous year, with a decrease of -1% quarter-on-quarter. Operating Profit dropped by -7.31% annually, and saw a 2.78% increase from the last quarter.
Net Profit showed yearly decrease of -27.36%, and experienced a -20.68% decrease from the previous quarter.Earnings Per Share (EPS) fell by -27.22% annually, however dipped by -31.92% compared to the last quarter. In essence, while Vedanta 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.