V-GUARD INDUSTRIES
V-Guard Industries, which makes UPS, inverters, batteries, cables and switchgears and many other consumer goods, did not have a very good performance for Q3FY15. On a 11% (YoY) rise in net sales at Rs.390 crore, a 15% rise in operating costs and other costs, net profit for the quarter came in at Rs.9 crore, down 47%. EBITDA for the quarter came in at Rs.22 crore, down 24% and EBITDA margin slipped down to 5.64% from 8.28%.
In terms of segment break-up, the key driver remains electrical and electro-mechanical, which contributed 70% to net sales and it was up 23%. In terms of EBIT, it was down 18%. The other segment, electronics also did not fare too well on the profit front. On a 7% rise in revenue, its EBIT fell 50%. The company as at 30th Sept’14 had borrowings to the tune of Rs.193 crore. Its equity is at Rs.29.85 crore (face value Rs.10) and reserves is at Rs.288 crore. The company has maintained its guidance of 20% growth in revenue and EBITDA margins of 8.5 to 9% for FY15.