Astral Poly Technik slipped 1.04% to Rs 831.20 after consolidated net profit dropped 17.4% to Rs 51.60 crore on 18.8% decline in net sales to Rs 628.90 crore in Q4 March 2020 over Q4 March 2019.
Consolidated profit before tax (PBT) dropped 28.9% to Rs 65.10 crore in Q4 March 2020 as against Rs 91.60 crore in Q4 March 2019. Current tax expenses tumbled 53.6% to Rs 13.50 crore in Q4 March 2020 as against Rs 29.10 crore paid in Q4 March 2019.
EBITDA declined 6.51% to Rs 112.10 crore in Q4 March 2020 from Rs 119.90 crore in Q4 March 2019. EBITDA margin improved to 17.82% in Q4 FY20 as against 15.48% in Q4 FY19.
The pipe business segment reported 16.50% decline in revenue to Rs 505.70 crore in Q4 FY20 over Q4 FY19. The adhesive business vertical reported 26.70% decline in revenue to Rs 134.60 in Q4 FY20 over Q4 FY19.
The company said that due to sudden declaration of lock down in country due to Covid-19 pandemic, the firm lost sizeable sales in March 2020. In plumbing industry March is a very pick month of the season, the company runs schemes for quarterly discount for its distributor and every distributors has target associated with annual turnover discounts.
The management has made a detailed assessment of its liquidity position for the next one year and recoverability of property, plant and equipment, investments, trade receivables and inventories as at the balance sheet date. In assessing the recoverability, the company has considered internal and external information and has concluded that there is no material impact on the operations and the financial position of the company. Further, the company has additional support from the bankers in the form of unutilised banking limits in case of need.
The company has not availed any moratorium offered by the government and it does not see any delay in servicing its debt considering the liquidity and the outstanding debt position of the company. Despite adverse and uncertain business conditions, the company has not laid off or is not planning to lay off any employees. Further all payments to our vendors and employees have been made in normal course.
The company said it has not faced any material problem in supply chain till date. The company is getting initially good response in the demand of the company's products post partial release of lockdown. However, proper assessment can be made post complete lockdown is lifted. The company shall keep assessing the situation and inform the stakeholders and stock exchanges about any material impact of Covid-19 pandemic on the business in future.
Astral Poly Technik and its subsidiaries are engaged in the business of manufacturing and trading of pipes, fittings and adhesive solutions. Its product range includes pipe category for plumbing, industrial, drainage, fire protection, agriculture, electrical conduit and ancillary, and adhesive category for construction, maintenance, wood care and automotive.
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