Jain Irrigation Systems tumbled 8.49% to Rs 49.60 at 10:44 IST on BSE after the company reported consolidated net loss of Rs 60.33 crore in Q1 June 2013, higher than net loss of Rs 48.74 crore in Q1 June 2012.
The Q1 result was announced after market hours on Wednesday, 14 August 2013. The stock market was closed on Thursday, 15 August 2013 on account of Independence Day.
Meanwhile, the S&P BSE Sensex was down 419.13 points or 2.16% at 18,948.46.
On BSE, 5.82 lakh shares were traded in the counter as against average daily volume of 5.01 lakh shares in the past one quarter.
The stock hit a high of Rs 52.90 and a low of Rs 48.50 so far during the day. The stock had hit a 52-week low of Rs 46.10 on 1 August 2013. The stock had hit a 52-week high of Rs 90 on 14 August 2012.
The stock had outperformed the market over the past one month till 14 August 2013, surging 5.55% compared with the Sensex's 2.96% fall. The scrip had, however, underperformed the market in past one quarter, sliding 17.19% as against Sensex's 1.8% fall.
The small-cap company has equity capital of Rs 90.98 crore. Face value per share is Rs 2.
Jain Irrigation Systems' consolidated adjusted net profit rose 8.7% to Rs 71.20 crore in Q1 June 2013 over Q1 June 2012. Revenue rose 13.3% to Rs 1455 crore in Q1 June 2013 over Q1 June 2012. Earnings before interest, taxation, depreciation and amortization (EBITDA) rose 1.14% to Rs 220.30 crore in Q1 June 2013 over Q1 June 2012.
Commenting on the company's Q1 performance, MD, Mr. Anil Jain, Jain Irrigation Systems said, "We have achieved significant positive turnaround in MIS business from last year's high degrowth. We expect to maintain similar performance in rest of the year on the back of new business model and good monsoon rains. Our other major revenue earner, pipe business has also soared with very high level of growth and with good orders in hand, it shall sustain momentum. We recently finished mango processing season and almost all the quantity produced has been booked by customers in India and overseas. Thus, we are very bullish on our revenue prospects despite gloomy and volatile external economic environment and negative business sentiments in the country. We have aggressively reduced overall receivables and we shall continue to do so over next few quarters despite high revenue growth. Increased inventory at peak level right now is function of seasonality in food business and preparation of strong Q2 for pipe business. Inventory shall come down considerably over next 3 quarters through increased revenue. Elevated debt compared to March 2013 is due to forex mark to market and growth in inventory. We remain committed to reduction of debt by Rs 500 crore by FY 2014. We have been hit notionally due to mark to market forex temporarily. However, our efforts to boost exports are paying handsome dividends and we shall maintain higher growth rate in remainder of the year. Environment is negative and news flow is challenging but our business shall prosper well in secular manner as we progress through the year."
Jain Irrigation is a diversified company with product portfolio encompassing irrigation product, piping products, plastic sheets, dehydrated foods, fruit puree, juice concentrates and solar energy systems. Jain Irrigation has pioneered drip irrigation for small farmers in India and has a major market share in one of the fastest growing irrigation markets in the world and is also the second largest drip irrigation company in the world.
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