PGEL Result Second Quarter 2018

Published On: November 13th 2018 at 7:42 PM

Quarter ended Sept. 30, 2018

o Net Revenues of Rs 1163 million – growth of 27.5% YoY.
o EBITDA of Rs 70 million – decline of 16.4 % YoY, EBITDA is impacted due to startup costs of new initiatives, volatile forex and raw material price movement.
o PAT of Rs. 11.8 million – decline of 41.6% YoY

H1 ended Sept. 30, 2018H1 ended Sept. 30, 2018*

o Revenues of Rs 2332 million – growth of 14.7% YoY.
o EBITDA of Rs. 151 million – decline of 9.0% YoY due to startup costs of new initiatives, volatile forex and raw material price movement and provision of doubtful interest on ICDs.
o PAT of Rs 39 million – decline of 5.8% YoY.

Other Highlights

o Company’s semi-automatic washing machine is ramping up well and volumes are picking up month by month.
o Second model of semi-automatic washing machine has been successfully developed and launched. The commercial production of the model is expected to begin in coming months.
o The lower offtake of Coolers and AC parts for the company impacted the overall sales growth in H1 2019.

Future Outlook

Management sees increased opportunities in the existing and new clients and based on the current business environment. With new capacities and newly installed PU paint and tooling capabilities, company is uniquely positioned in the consumer durable & automotive plastics space in India. In coming quarters, company aspires

To have Industry leading growth in the Revenues.
o Gradual improvement in margins due to operational efficiencies and operating leverage.
o Better capital efficiency due to improving cash flows and balance sheet optimisation.