Financial highlights for Sep-20 compared yoy and sequentially
|Particulars||Sep-20 Quarter||Growth (yoy)||Growth (qoq)|
|Key Ratios||Sep-20 Quarter||Sep-19 Quarter||Jun-20 Quarter|
|Net Profit Margin||10.48%||8.64%||12.04%|
Key takeaways from the Sep-20 quarter results
- The sequential numbers of Polycab are not exactly comparable as they reflect the quarter when the sales were substantially impacted by the COVID-19 impact. The net profit may appear relatively smaller due to the huge deferred tax write back in Jun-20.
- In terms of product segmentation, wires and cables continued to be the mainstay of the business model accounting for 80% of the total revenues of the company. Interestingly, the wire and cables business also enjoys the best margins in its product portfolio.
- The net cash flows were operating activities were up more than 3-fold at Rs779cr in the first half of FY21. This was largely on the back of favourable movement in trade receivables and also in inventories, adding substantially to the cash flows.