Add-Shop E-Retail hits 5% upper circuit on 271% yoy growth in Q2 PAT

PAT margins stood at 11.80% in Q2FY22.

Oct 19, 2021 03:10 IST India Infoline News Service

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Add-Shop E-Retail Limited, one of the country's first companies to promote organic farming and produce organic farm goods has released results for Q2FY22.

Financial Performance:
Q2FY22 recorded the greatest-ever quarterly performance to date in terms of Revenue from Operations and Profit after Tax. Revenue from Operations stood at Rs38.9cr in Q2FY22, up 153% yoy and 25% qoq. Subsequently, Profit before Tax stood at Rs5.6cr in Q2FY22, an increase of 236% yoy and 27% qoq.

Stellar performance by the company on increase in the Revenue in H1FY22 which stood at Rs7016.92 million than H1FY21 which was at Rs257.5cr.

The Company recorded the highest-ever quarterly Profit after Tax of Rs4.5cr, an advance of 271% yoy and 29% qoq. At the same time, PAT margins stood at 11.80% in Q2FY22 compared to 11.41% in Q1FY22 and 8.50% in Q2FY21, an advance of 330 bps and 39 bps, respectively. Furthermore, H1FY22 had a remarkable EPS of 7.02, which marks for a prominent upcoming.

Operational Performance:
As numbers propose the company has experienced elevation in the revenue. Starting with sky rocketing demand, Company is certain about the exporting its products, furthermore aiding an escalation in the revenue and thickening its market size. In the last quarter Company had a Capex of 2 crore, which assisted in increasing the existing production capacity by 5 times.

Additionally, company has applied for food license ‘Fssai’ , to establish food production into its portfolio. Adding to the list, the Company has applied for G2 and G3 license, giving them an edge in trade and market. The Company is dedicated in invigorating by making advancement in its structure, production, finances and investments and holistic approach in expanding, said the company in a regulatory filing.

Going further, the Company is determined to launch mineral based food produce for Animals. Minerals being very essential for animals and not so effortlessly available due to lack of it in local soil composition makes it a rare component. By making mineral based food for animals and organic produce for farmers , the company is making sure of a healthy environment.

The Company has seen a lot of stimulation in its demand and returns in new additions to which it has decided to expand its product range by 15-20 items. Lastly, the Company is going to indulge in Paraben free and Sls free products, giving an edge in boosting up sales and serving clients with the finest.

Announcing the results, Dineshbhai Pandya, Promoter and Managing Director, Add-Shop E-Retail Ltd, said, "India has witnessed an erratic monsoon this year, but with its revival, we can expect the agricultural activities to pick up pace. With the past experiences we were able to embark upon the new challenges in a robust manner. The past Quarter has been great and we’ve experienced shoot up in the revenue by 25%.

While reflecting upon the journey, I always think about how we have constructed credible foundation over the years, which has validated us to meet challenges and convert it into opportunities along with being pliable to the changing dynamics. We at Add-shop E-Retail are dedicated to accomplish our goals in any given plight. Throughout it all, I’m thrilled that Add-shop E-Retail and its employees were proficient in some advanced key developments.

Going forward, we will continue to focus upon leveraging opportunities by making investments in new product introduction, manufacturing, R&D and automation. The Company’s projects are progressing well and outlook for Q3 is positive."

Add Shop E-Retail ended at Rs162.50 per piece higher by 4.97% on Sensex.

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