Diamond Power Infra is engaged in manufacturing of power cables, conductors and transmission towers. Traditionally, the company’s Q2 is always good but Q3 proves to be a damp squib. This time too, it was the same. The company wrote back a Rs.30 crore claim on losses caused due to flood and that it what helped the company end the quarter with a 82% (YoY) jump in net profit at Rs.31 crore. But for this exceptional income, the net profit would have been just around Rs.1 crore.

Net sales of the company dropped 10% at Rs.570 crore and despite reducing costs by 7%, its EBITDA fell 43% at Rs.33 crore and margins slipped from 9.15% to 5.79%. In terms of segment wise performance, its mainfray remains power cables, which contributed 49% to total revenue but had loss at EBIT level. Towers contributed 23% to the topline and its EBIT was down 43%. Conductors contributed 23% to revenue and EBIT fell down a whopping 91%. The company has undertaken expansions; Phase I went on stream in Feb’14. Phase II and Phase II which were to go on stream in Dec’14 and June’15 respectively but is delayed inordinately due to delay in land acquisition and floods. The company has clarified that this delay is not expected to impact the performance as Phase I commenced commercial production before schedule.