India’s leading consumer electrical and electronics company V-Guard Industries Limited has announced its financial results for the July-September 2020 quarter. Consolidated net revenue from operations of the company stood at Rs 623 crore in the September quarter. The V-Guard received a similar revenue (Rs 623.27 crore) in the September quarter last year.
The company said in a statement that the consolidated profit of V-Guard after tax was Rs 51.62 crore in the September quarter. This is 12 percent less than the profit of Rs 58.75 crore in the same period last year. V-Guard’s second quarter results of FY 2019-20 included a one-off right back of Rs 10.12 crore linked to ESOP provisions. This amount is Rs 2.6 crore in the second quarter results of the financial year 2020-21.
Cashflow is stronger than operations
The statement said that cashflow from operations has remained strong. This happened judiciously with the management of working capital. The pump, fan and digital UPS categories performed well during the quarter. In the second quarter, V-Guard also launched water purifiers, breakfast appliances and kitchen hobs and chimneys.
Interruptions in supply
V-Guard MD Mithun K. Chittilapillai said that during the second quarter, most of our markets, except Kerala, came back close to the normal levels. We also had to deal with supply bottlenecks as the company’s Sikkim manufacturing units and some of the leading vendors had to face a prolonged production stagnation due to Covid 19 related reasons. Supply problems have been resolved and we are hoping to return to the growth track in the coming quarter, given the festive season.
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