InvestorQ : How did you see the Havells quarterly results for the September 2022 quarter?
Dilmini Mercia made post

How did you see the Havells quarterly results for the September 2022 quarter?

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Dawn Cherian answered.
1 month ago
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Let me run you through the top line performance of Havells first before getting down to the profit performance. For the September 2022 quarter, Havells India reported 13.9% higher sales revenues at Rs3,669 crore on a consolidated basis. Tepid OEM sales resulted in lower profits on sequential basis. IF you look at the product mix, Havells witnessed positive growth across all verticals yoy. Sequentially, cables and lightings & fixtures verticals did well but there was a fall in sales in the switchgears and FMEG verticals. FMEG stands for the fast moving electrical goods. The big underperformer in terms of sales revenues was the Lloyds Consumer vertical wherein sales fell sharply by over 60% on sequential basis. Here is gist.

Havells India

Rs in Crore

Sep-22

Sep-21

YOY

Jun-22

QOQ

Total Income (Rs cr)

₹ 3,668.94

₹ 3,221.03

13.91%

₹ 4,230.14

-13.27%

Net Profit (Rs cr)

₹ 186.87

₹ 301.56

-38.03%

₹ 242.43

-22.92%

Diluted EPS (Rs)

₹ 2.98

₹ 4.81

₹ 3.87

Net Margins

5.09%

9.36%

5.73%

Let me now turn to the profit performance of Havells. Profit after tax (PAT) for September 2022 quarter fell by -38.03% to Rs187 crore as higher operating costs and substantial investments in inventory led to the operating profits falling across segments. The operating losses sharply widened for the previously acquired Lloyds consumer business. PAT margins were lower at 5.09% in the Sep-22 quarter as against 9.36% in the Sep-21 quarter and also relatively lower than 5.73% reported in the June 2022 quarter. The latest quarter also witnessed a loss of Rs107 crore on account of fire at one of its facilities, which was fully covered by insurance claims, so there was no loss incurred by the company.

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