 "Whirlpool India Q2 profit down 88% to Rs 49 cr; revenue flat at Rs 1,611 cr")
Consumer durables firm Whirlpool of India Ltd on Tuesday reported a decline of 88.13 per cent in its consolidated net profit at Rs 49.02 crore for the second quarter ended September 2022 on account of commodity headwinds and a one-time gain last fiscal.
The company had posted a net profit of Rs 413.19 crore during the July-September period of the previous fiscal, Whirlpool of India, a subsidiary of Whirlpool Corporation, said in a regulatory filing.
Its revenue from operations was marginally up at Rs 1,611.54 crore. It was 1,607.10 crore in the September quarter of the last fiscal.
Whirlpool of India's total expenses were at Rs 1,566.89 crore, up 3.33 per cent.
Its profit after tax was down "mainly on account of rising commodity costs and inflation partially offset by cost-based price increases and cost productivity actions," Whirlpool of India said in an earnings statement.
In the last fiscal, Whirlpool of India had acquired additional shareholding of 38.25 per cent in Elica PB India for a consideration of Rs 424.8 crore, taking its total shareholding in the kitchen appliances maker to 87.25 per cent.
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"Upon the acquisition, Elica India has become a subsidiary of the Company. As per requirements of Ind AS, the Company has fair valued its existing interest in Elica India and recognised a gain of Rs 324.6 crore in the Statement of Profit and Loss of last year's consolidated financial statements," it added.
Whirlpool of India Managing Director Vishal Bhola said Q2 results showed flat revenue growth, with double-digit growth in Elica business balancing out a muted performance in the entry segment.
"Normalised profit after adjusting for a one-off gain last year of Rs 324 crore due to fair valuation of assets from the Elica acquisition, declined by 45 per cent for the quarter," he said.
Shares of Whirlpool of India Ltd on Tuesday settled at Rs 1,561 apiece on BSE, down 1 per cent from the previous close.
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