CG Power and Industrial Solutions Limited on Thursday announced its results for the quarter ended June 30, 2023.
Profit before tax (PBT) grew by 55 percent. PBT achieved in Q1FY24 is the highest ever recorded in Q1 in recent times. Order book on hand as at 30 Jun 2023 aggregate to ₹4,909 crores.
Financial Results (Standalone)
Aggregate sales for the quarter were higher at ₹1,766 crores recording a growth of 13 parent YoY and lower by 1 percent QoQ. PBT was at Aggregate sales for the quarter were higher at ₹1,766 crores recording a growth of 13 percent YoY and lower by 1 percent QoQ. PBT was at ₹256 crores (14.5 percent of sales) in Q1FY24 as against ₹165 crores (10.6 percent of sales) in Q1FY23 and ₹252 crores (14.1 percent of sales) in Q4FY23.
Margins were higher YoY on account of volume growth, softening in input costs, favourable product mix and procurement efficiencies. ROCE (annualised) for Q1FY24 was at 45 percent as against 38 percent in Q1FY23. Order intake for Q1FY24 was ₹2,514 crores (47 percent growth YoY) and Unexecuted Order Book as at 30 Jun 2023 was ₹4,909 crores (39% percent higher YoY).256 crores (14.5 percent of sales) in Q1FY24 as against Rs 165 crores (10.6 percent of sales) in Q1FY23 and ₹252 crores (14.1percent of sales) in Q4FY23.
Margins were higher YoY on account of volume growth, softening in input costs, favourable product mix and procurement efficiencies. ROCE (annualised) for Q1FY24 was at 45 percent as against 38 percent in Q1FY23. Order intake for Q1FY24 was ₹2,514 crores (47 percent growth YoY) and Unexecuted Order Book as at 30 Jun 2023 was ₹4,909 crores (39 percent higher YoY).
Segment wise performance
A) Industrial Systems
Aggregate sales for the quarter were higher at ₹1,255 crores recording a growth of 13 percent YoY and 5 percent QoQ.
PBIT was at ₹197 crores (15.7 percent of sales) in Q1FY24 as against ₹153 crores (13.8 percent of sales) in Q1FY23 and ₹188 crores (15.8 percent of sales) in Q4FY23. Margins were higher YoY on account of volume growth, softening in input costs and procurement efficiencies. Order intake for Q1FY24 was ₹1,395 crores (27 percent growth YoY) and Unexecuted Order book as at 30 Jun 2023 was ₹2,035 crores (12 percent higher YoY).
B) Power systems
Aggregate sales for the quarter were higher at ₹512 crores recording a growth of 13 percent YoY and lower by 14 percent QoQ. PBIT was at ₹63 crores (12.3 percent of sales) in Q1FY24 as against ₹40 crores (8.8 percent of sales) in Q1FY23 and ₹75 crores (12.7 percent of sales) in Q4FY23. Margins were significantly higher YoY on account of higher realisations and favourable product mix. Order intake for Q1FY24 was ₹1,119 crores (84 percent growth YoY) and Unexecuted Order book as at 30 Jun 2023 was ₹2,874 crores (69 percent higher YoY).
Financial Results (Consolidated)
Consolidated results include the performance of the operating Subsidiaries at Sweden, Germany and Netherlands (Drives and Automation Europe), CG Adhesives Products Ltd. (India) and other non-operating and holding subsidiaries. The Company subsequent to quarter ended June 30, 2023 has concluded sale of QEI LLC, USA for a total consideration of USD 10.5 million free of cash/ debt.
Aggregate sales for the quarter were higher at ₹1,874 crores recording a growth of 14 percent YoY and lower by 2 percent QoQ. PBT was at ₹263 crores (14.0 percent of sales) in Q1FY24 as against ₹167 crores (10.1 percent of sales) in Q1FY23 and ₹262 crores (13.8 percent of sales) in Q4FY23. Unexecuted Order Book of Drives and Automation, Europe as at 30 Jun 2023 was ₹136 crores (9 percent higher YoY).
