Whirlpool of India Ltd's Q2FY19 standalone net profit rises 6.94% yoy to Rs78.55cr : Misses Estimates

The company’s standalone revenue stood at Rs1,181.50cr, up 1.88% yoy but down 28.44% qoq.

Nov 02, 2018 02:11 IST India Infoline Research Team

Whirlpool of India Ltd Q2FY19

Standalone Results Q2FY19: (Rs. in cr)

Q2FY19 YoY (%)
Revenue 1,181.50 1.9
EBITDA 107.76 [5.1]
EBITDA Margin (%) 9.1 [67]
Net Profit (adjusted) 78.55 6.9
***EBITDA margin change is bps
Whirlpool’s September quarter numbers came below street expectations on major counts. Revenue rose merely by 1.9% yoy to Rs1181.5cr in Q2FY19, 8.7% lower than the steet estimates. EBITDA fell by 5.1% yoy to Rs107.8cr in Q2FY19 vs. Rs113.5cr in Q2FY18, missed the consensus estimates by 14.3%. EBITDA margin softened by 67bps yoy to 9.1% in Q2FY19. Net profit during the quarter grew by 6.9% yoy to Rs78.6cr as against Rs73.5cr for the same quarter last year, however fell short of estimates by 10.9%.
  • Top-line was impacted by lower consumer demand as the company took price action to offset higher input costs caused by increased fuel prices, weaker rupee and custom duty hiked by the government
  • Decline in operating profit and contraction in the margin for the same was largely attributed to higher input costs.
  • Bottom-line, despite muted sales numbers, was supported by higher other income, which increased by 43.9% yoy to Rs39.82cr in Q2FY19.
  • The company had Rs983.48cr of cash and cash equivalent on its books at the end of September 2018.
  • As part of its strategic join venture plan announced earlier, Whirlpool acquired 49% stake in Elica PB India in September 2018. Elica PB India will manufacture and distribute cooking and built-in appliances under the Whirlpool brand.

Technical View:

Whirlpool of India Ltd is currently trading at Rs. 1,367.35, down by 18.3 points or 1.32% from its previous closing of Rs. 1,385.65 on the BSE.
The scrip opened at Rs. 1,394 and has touched a high and low of Rs. 1,406.15 and Rs. 1,350.60 respectively. So far 50,949 (NSE+BSE) shares were traded on the counter. The stock is currently trading above its 200 DMA.

Related Story

Open Free Demat Account (Rs699)