Bajaj Electricals Q1 profit declines 9.8% to Rs 37 crore

Shares of Bajaj Electricals closed at Rs 1,222.95 apiece on Thursday, down 1.81 per cent, on the BSE.

Bajaj Electricals Ltd on Thursday reported a 9.85 per cent decline in consolidated net profit at Rs 37.13 crore in the June quarter. The company had posted a net profit of Rs 41.19 crore in the year-ago period, Bajaj Electricals said in a regulatory filing.

Its net sales were down 1.5 per cent to Rs 1,107.98 crore in the first quarter of the current fiscal as against Rs 1,124.88 crore in the year-ago period. Bajaj Electricals’ total expenses were almost flat at Rs 1,079.02 crore during the quarter, while total revenue maintained its level from the previous year at Rs 1,132.04 crore.

Its revenue from the consumer products segment was up 2.01 per cent at Rs 872.60 crore in the quarter under review as against Rs 855.36 crore last year. However, revenue from its lighting solutions segment was down 12.52 per cent to Rs 239.53 crore from Rs 273.83 crore in the June quarter last year.

Bajaj Electricals has demerged its engineering, procurement and construction (EPC) business after approval by NCLT Mumbai and accordingly, the segment has been shown as discontinued operations, said an earnings statement by the company. "The company has achieved a stable performance in a challenging environment. Consumer product revenues have grown 2 per cent during the quarter, despite demand slowdown and pricing constraints. The lighting solutions segment is also facing demand headwinds," Bajaj Electricals Chairman Shekhar Bajaj said.

The company kept its focus on our long-term strategic objectives with a continued push on new products and brand strengthening, he added. Shares of Bajaj Electricals closed at Rs 1,222.95 apiece on Thursday, down 1.81 per cent, on the BSE.