Ador Welding

Ador Welding did well in Q3FY16. Despite a 4.5% (YoY) fall in net sales at Rs.83 crore, thanks to the 10% drop in expenses and 32% drop in interest outgo, posted a net profit of Rs.5 crore, up almost 8 times. Its material cost was also down by 15%  and employee costs were kept constant. Consequently, EBITDA was up from Rs.5 crore to Rs.10.5 crore. The company stands debt free now.

This Mumbai based company, formerly known as Advani–Oerlikon , making welding products has been in existence since 1951 and going by its stock price, continues to command respect too.   The company has two segments – Consumables and equipment and Project engineering (EPE). Consumables, which contributes 66% to the total turnover.  Its biggest consumer is the infra sector and the moment the economy bounces back, it will also bounce back with vigour.