Crompton Greaves has slipped over 4% to Rs 92.15 after reporting a sharp 75% year-on-year (yoy) fall in its consolidated net profit at Rs 25 crore for the quarter ended March 31, 2013 (Q4) due to poor performance from its power division. The company had a profit of Rs 100 crore in a year ago quarter.
On the EBITDA or operating front, the company's margin declined by almost 500bp at 2.3% against 6.92% in the corresponding quarter of previous fiscal mainly on account of contraction in power segment margins.
“The operating margins of power segment contracted by 630bp year-on-year (yoy) due to low productivity, delay penalty and quality issues in its overseas power transformer business, while consumer segment margins fell by 240bp yoy due to higher marketing and promotional expenses,” says analyst at Angel Broking Research.
The company’s income from operations however, increased 10% at Rs 3,387 crore on yoy basis.
The stock opened at Rs 92 and touched a low of Rs 91.25 on NSE. A combined 5.81 million shares have changed hands on the counter till noon deals on NSE and BSE.
On the EBITDA or operating front, the company's margin declined by almost 500bp at 2.3% against 6.92% in the corresponding quarter of previous fiscal mainly on account of contraction in power segment margins.
“The operating margins of power segment contracted by 630bp year-on-year (yoy) due to low productivity, delay penalty and quality issues in its overseas power transformer business, while consumer segment margins fell by 240bp yoy due to higher marketing and promotional expenses,” says analyst at Angel Broking Research.
The company’s income from operations however, increased 10% at Rs 3,387 crore on yoy basis.
The stock opened at Rs 92 and touched a low of Rs 91.25 on NSE. A combined 5.81 million shares have changed hands on the counter till noon deals on NSE and BSE.
