Enkei Wheels (India) Ltd Q3 FY25 Results
| Metric | Q3 FY25 (202412) | Q3 FY24 (202312) | % Change |
|---|---|---|---|
| Sales (Rs. Million) | 1952.00 | 2002.47 | -2.52% |
| Other Income (Rs. Million) | 53.67 | -48.15 | -211.46% |
| PBIDT (Rs. Million) | 132.13 | 161.67 | -18.27% |
| Interest (Rs. Million) | 37.45 | 28.52 | 31.31% |
| PBDT (Rs. Million) | 94.68 | 133.15 | -28.89% |
| Depreciation (Rs. Million) | 131.60 | 123.90 | 6.21% |
| PBT (Rs. Million) | -36.92 | 9.25 | -499.14% |
| TAX (Rs. Million) | -7.25 | -11.85 | -38.82% |
| Deferred Tax (Rs. Million) | 0.00 | -11.85 | -100.00% |
| PAT (Rs. Million) | -29.67 | 21.10 | -240.62% |
| Equity (Rs. Million) | 89.87 | 89.87 | 0.00% |
| PBIDTM (%) | 6.77 | 8.07 | -16.16% |
Enkei Wheels (India) Ltd recently released its Q3 FY25 financial results, revealing both challenges and positive takeaways. The company reported a slight decline in sales but showed improvement in other areas like interest income and depreciation.
Sales and Revenue Performance
Enkei Wheels (India) Ltd reported sales of Rs. 1952 million in Q3 FY25, which shows a decrease of 2.52% compared to Rs. 2002.47 million in Q3 FY24. Despite the decline in sales, the company generated Rs. 53.67 million in other income, marking a significant turnaround from the negative Rs. 48.15 million recorded in the previous year.
Profitability Metrics
The company’s Profit Before Interest, Depreciation, and Tax (PBIDT) fell by 18.27%, reaching Rs. 132.13 million compared to Rs. 161.67 million in the same quarter last year. Interest costs increased by 31.31% to Rs. 37.45 million, indicating higher borrowing expenses during this period.
Profit Before Depreciation and Tax (PBDT) stood at Rs. 94.68 million, marking a decrease of 28.89% from Rs. 133.15 million in Q3 FY24. Meanwhile, depreciation costs rose by 6.21% to Rs. 131.60 million, reflecting the company’s increased investment in fixed assets.
Net Profit and Tax Impact
The company reported a loss before tax (PBT) of Rs. 36.92 million, a significant drop from the profit of Rs. 9.25 million in the previous year. Tax expenses fell by 38.82% to Rs. 7.25 million. Deferred tax expenses dropped sharply to zero from Rs. 11.85 million, which positively impacted the overall tax burden.
As a result, the company recorded a net loss (PAT) of Rs. 29.67 million, compared to a profit of Rs. 21.10 million in Q3 FY24. This translates to a decline of 240.62% in net profit.
Operational Efficiency
The PBIDT margin dropped by 16.16%, settling at 6.77% compared to 8.07% in the previous year. Despite operational challenges, the company’s equity capital remained unchanged at Rs. 89.87 million.
Year-to-Date and Year-End Summary
For the year-to-date period, sales increased by 17.92% to Rs. 8444.63 million from Rs. 7161.37 million. Interest expenses rose by 31.04% to Rs. 140.16 million. The profit before tax for the year decreased by 86.11% to Rs. 22.30 million. Net profit for the year declined by 77.29% to Rs. 26.56 million.
Final Thoughts
Enkei Wheels (India) Ltd continues to navigate through a challenging financial landscape. While the increase in sales and reduction in deferred tax provide positive signals, the rising interest costs and declining profitability indicate areas requiring strategic focus.
Disclaimer: This blog is for informational purposes only and should not be considered as financial advice or any buy/sell recommendations.
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