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VIP Ind soars after turnaround Q1 numbers

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Capital Market
Last Updated : Aug 12 2021 | 9:50 AM IST

VIP Industries surged 8.56% to Rs 419.15 after the company's consolidated net profit stood at Rs 2.53 crore in Q1 June 2021 (Q1 FY22) compared with net loss of Rs 51.32 crore in Q1 June 2020 (Q1 FY21).

Consolidated revenue from operations surged 411.43% to Rs 206.21 crore in Q1 FY22 as against Rs 40.32 crore in Q1 FY21. Pre-tax profit was at Rs 1.85 crore in Q1 FY22 compared with pre-tax loss of Rs 67.38 crore in Q1 FY21. The Q1 earnings were declared after market hours yesterday, 11 August 2021.

EBITDA was at Rs 27 crore in Q1 June 2021 compared with negative EBITDA of Rs 38 crore in Q1 June 2020. EBITDA margin stood at 12% during the quarter compared with -65% during Q1 June 2020.

The Q1 FY22 revenue was impacted due to COVID-19. The revenue stood at 85% of last year March quarter at Rs 221 crore. Hard Luggage constituted 39% of total revenue for this quarter. Gross Margin was at 54% during the quarter, mainly due to lower discounts and better mix in favor of higher margin products and price increase.

The overall expense skid 18% as compared to last year Q4 FY20. The reduction in expenses as compared to Q4 FY21 was achieved by reduction in CSR spends, factory related costs as plant was shut for some time and elimination of all discretionary spends. Employee cost was almost in line with last year in the same period as well as sequential quarter.

VIP Industries is the leading manufacturer of hard and soft luggage in Asia.

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First Published: Aug 12 2021 | 9:27 AM IST

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