Tube Investments revenue rises at Rs1,701cr in Q3FY22, board declares dividend

8 Feb 2022 , 09:17 AM

The Board of Directors of Tube Investments of India Limited (TII) has approved the financial results for the Quarter ended December 31, 2021. The Board has declared an interim dividend of Rs2 per share for the financial year 2021-22.

Standalone Results for the Quarter:

• Revenue in Q3 was at Rs1,701cr compared with Rs1,309cr of same period previous year.
• PBT was of Rs161cr as against Rs145cr in the same period previous year.
• ROIC (annualized) at 49.6% for the quarter ended 31st December 2021 compared with 51.7% in the previous year same period.
• Free Cash Flow (FCF) for the quarter was Rs172cr with improved NWC levels from Q2 FY22.

Review of Businesses
TII’s revenue for the quarter was at Rs1,701cr as against Rs1,309cr in the corresponding quarter of the previous year. The profit after tax for the quarter was at Rs120cr as against Rs107cr in the corresponding quarter of the previous year.

Engineering
The Revenue for the quarter was at Rs996cr compared with Rs733cr in the corresponding quarter of the previous year. Profit before interest and tax for the quarter was Rs87cr as against Rs102cr in the corresponding quarter of the previous year, primarily due to higher fixed costs incurred towards special maintenance expenditure and plant layout changes.

Metal Formed Products
The Revenue for the quarter was at Rs330cr compared with Rs315cr in the corresponding quarter of the previous year. Profit before interest and tax for the quarter was lower at Rs32cr as against Rs38cr in the corresponding quarter of the previous year due to lower volumes in railways and door frames.

Mobility
The division has registered revenue of Rs280cr during the quarter compared with Rs234cr in the corresponding quarter of the previous year. Profit before interest and tax for the quarter was flat at Rs15cr, compared to Rs15cr in the corresponding quarter of the previous year owing to higher 3W EV preoperative costs.

Others
The Revenue for the quarter was at Rs159cr compared with Rs79cr in the corresponding quarter of the previous year. Profit before interest and tax for the quarter was Rs11cr as against Rs8cr in the corresponding quarter of the previous year.

Commenting on the financial results, M.A.M Arunachalam (known as Arun Murugappan), Chairman, Tube Investments of India Ltd, “The results for the quarter show a steady performance by all the businesses. The Company is closely watching the impact of challenges of drop in auto industry performance which has impacted domestic Tubes and Metal Formed business.

Performance in exports has witnessed healthy growth in Tubes and Industrial Chains business. CG Power has also delivered consistently higher results across all its business segments.”

On Tuesday morning trade, Tube Investments of India was trading at Rs1821.55 per piece higher by 1.21% on Sensex.