Iron & Steel products company BMW Industries announced Q3FY24 results:
- Total income at Rs 14,519 Lacs for Q3FY24, registering an increase of 1.7% YoY.
- Adjusted EBITDA at Rs 4,369 Lacs in Q3FY24, up 3.7% YoY. Adjusted EBITDA Margin was at 30.1%.
- Gross Profit at Rs 9,818 Lacs, up 1.8% over Q3FY23. Gross Margin was at 68.2%.
- PAT at Rs 1,149 Lacs against Q3FY23 PAT of Rs 1,729 Lacs, down 33.6%. PAT Margin was at 7.9%.
- EPS stood at Rs 0.51 as against Rs 0.77 in Q3FY23.
- Net Debt stood at Rs 17,579 Lacs as against Rs 24,180 lacs in Dec’22.
- Net Debt / EBITDA improved further to 1.92 from 3.03 in Dec’22.
Commenting on the results, Ram Gopal Bansal, Chairman, BMW Industries Limited said, “Total income grew by 1.7% YoY to Rs 14,519 lacs in Q3FY24. However, the total income fell by 9.9% QoQ largely due to fall in Zinc prices, which is a pass through.
Gross profit has risen to Rs 9,818 lacs from Rs 9,646 YoY. Gross Profit margin has increased slightly from 68.0% in Q3FY23 to 68.2% in the quarter gone by. In fact, GP margin grew sharply by 470 basis points QoQ.
Adjusted EBITDA increased by 3.7% YoY and 7.3% QoQ to Rs 4,369 lacs and Adjusted EBITDA margin stood at 30.1%, expanding by 58 bps YoY and 484 bps QoQ.
The overall profit for the quarter got impacted by a one-time debit note amounting to Rs 1,073 lacs from our key customer. The company decided to settle an old dispute and took this hit, keeping in view our long-standing relationship with the customer. Consequently, PAT fell from Rs 1,729 lacs in Q3FY23 to Rs 1,149 lacs in the quarter gone by. Our net debt improved from Rs 22,998 lacs in FY23 to Rs 17,579 lacs in Q3FY24.
We continue to prioritize maximizing our capacity utilization, and this, combined with our expansion plan, will significantly contribute to achieving robust revenue growth. Our net debt is steadily decreasing, and alongside our strong revenue growth, this will enable us to significantly improve profits and secure sustainable margins”