Jain irrigation Q1 PAT seen down 19% to Rs 67 cr
Jain irrigation is set to declare its first quarter results of FY13 today. Analysts on an average expect the profit after tax to fall by 18.9% year-on-year to Rs 66.8 crore.
August 14, 2012 / 17:25 IST
Jain irrigation is set to declare its first quarter results of FY13 today. Analysts on an average expect the profit after tax to fall by 18.9% year-on-year to Rs 66.8 crore.
Total income is seen going up by 1.2% to Rs 962 crore from Rs 951.3 crore while earnings before interest, tax, depreciation and amortisation (EBITDA) are expected to go down by 8.7% to Rs 208 crore from Rs 228 crore during the same period.EBITDA margin is likely to decline 230 basis points to 21.7% in the April-June quarter of financial year 2012-13.ExpectationsGiven the delay in subsidy disbursements by the government, the company has taken a conscious decision to compromise growth in micro irrigation (MIS) by asking for higher upfront capital commitments (almost 100% in some states) from farmers. This will impact the business.EBITDA margin will come under stress as MIS business is under pressure. Interest costs will increase this quarter to approximately in the range of Rs 95-100 crore. Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
