Net sales saw a 39.5 percent increase for the electrical goods company in the first quarter
Fast moving electronic goods (FMEG) company Havells posted a 73.3 percent YoY rise in its standalone net profit to Rs 210.4 crore for the first quarter beating estimates, on the back of a 39.5 percent rise in total income.
The company had posted profit after tax of Rs 121.4 crore for the first quarter of FY18. Havells said the figures for Q1FY18 include business of Lloyd Consumer Division and hence not comparable with Q1FY19.
In May 2017, Havells India had announced the completion of its acquisition of Lloyd Consumer Durable Business Division (Lloyd Consumer). The acquisition was at an enterprise value of Rs 1,600 crore on a debt free, cash free basis.
For the first quarter of FY19, Havells saw a 39.5 percent increase in its net sales total income for the quarter ended June 30 to Rs 2,596.34 crore from Rs 1,860.54 crore a year ago.
The net revenue (excluding Lloyd) for Q1FY19 grew by 19 percent YoY to Rs 1,888 crore. The EBITDA (excluding Lloyd) for Q1FY19 grew by 60 percent YoY to Rs 255 crore.
Among the segments of business, Lloyd Consumer that was merged into Havells India in May 2017, saw a 160 percent increase YoY in revenue to Rs 708.13 crore in Q1. The electrical consumer durables segment saw a 29.5 percent growth YoY in revenue to Rs 475.86 crore.
Switchgears saw a 13.6 percent YoY growth in revenue to Rs 404.10 crore in Q1. The cable segment that constitutes the largest portion of the company’s revenues saw a 4.2 percent growth YoY to Rs 749.93 crore in Q1.
However, the lighting and fixtures segment saw a 5 percent decrease in revenue YoY to Rs 258.32 crore.
The board has also given its in-principle approval for merger of its subsidiaries Promptec Renewable Energy Solutions, Standard Electricals, Havells Global and Lloyd Consumer. The company said this merger would help leverage synergy in operations of the business carried out by the subsidiaries.