Godawari Power & Ispat Ltd's Q3FY25 Quarter Results
- 13 Feb 2025
Result Summary
- Godawari Power & Ispat Ltd reported a 2.0% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a decline of 0.7%.
- Its expenses for the quarter were up by 4.9% QoQ and 9.4% YoY.
- The net profit decreased 9.0% QoQ and decreased 36.7% YoY.
- The earnings per share (EPS) of Godawari Power & Ispat Ltd stood at 2.3 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 1316.04 | 1290.38 | 1324.71 | 2.0% | -0.7% |
Total Expenses | 1126.16 | 1073.93 | 1029.26 | 4.9% | 9.4% |
Profit Before Tax | 189.88 | 217.15 | 295.45 | -12.6% | -35.7% |
Tax | 46.72 | 58.39 | 67.28 | -20.0% | -30.6% |
Profit After Tax | 145.04 | 159.39 | 229.16 | -9.0% | -36.7% |
Earnings Per Share | 2.30 | 12.90 | 18.40 | -82.2% | -87.5% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Godawari Power & Ispat Ltd is an integrated steel manufacturer based in India, primarily engaged in the production of iron ore pellets, sponge iron, steel billets, ferro alloys, and power generation. The company operates in the steel and power industry, which is crucial for infrastructure development and industrial growth. The company has been focusing on expanding its production capacities and improving operational efficiencies. As of the latest available information, there are no significant recent developments or strategic shifts publicly disclosed. The company continues to operate within the cyclical nature of the steel industry, which is subject to fluctuations in demand and raw material prices.
Revenue
In the third quarter of the fiscal year 2025 (Q3FY25), Godawari Power & Ispat Ltd reported a total income of ₹1316.04 crores. This marks a slight increase of 2.0% from the previous quarter (Q2FY25), where total income was ₹1290.38 crores. However, on a year-over-year (YoY) basis, there was a decrease of 0.7% compared to Q3FY24, which recorded a total income of ₹1324.71 crores. This marginal decline in total income on a YoY basis may reflect various market conditions affecting the demand for steel products. Despite the small fluctuations, the company has maintained relatively stable revenue levels over the quarters reviewed.
Profitability
The company's profitability has experienced a significant downturn in Q3FY25. The profit before tax (PBT) was ₹189.88 crores, which represents a decrease of 12.6% from ₹217.15 crores in Q2FY25 and a notable 35.7% decline from ₹295.45 crores in Q3FY24. The profit after tax (PAT) also declined to ₹145.04 crores in Q3FY25, down by 9.0% from Q2FY25 and down by 36.7% from Q3FY24. The tax expense for the quarter was ₹46.72 crores, a reduction of 20.0% from the previous quarter and 30.6% from the same quarter last year. This reduction in tax expense partially offsets the decline in profitability. The earnings per share (EPS) for Q3FY25 was ₹2.30, significantly down from ₹12.90 in Q2FY25 and ₹18.40 in Q3FY24, reflecting substantial impacts on shareholder returns.
Operating Metrics
The operating metrics for Godawari Power & Ispat Ltd highlight an increase in total expenses, which rose by 4.9% QoQ from ₹1073.93 crores in Q2FY25 to ₹1126.16 crores in Q3FY25. On a YoY basis, total expenses increased by 9.4% from ₹1029.26 crores in Q3FY24. This increase in expenses suggests higher operational costs that could be attributed to various factors such as increased raw material costs or changes in production processes. The discrepancy between the increasing expenses and the stable revenue levels has impacted the company's profitability metrics, as seen in the reduced profit margins over the quarters. These operating metrics underscore the dynamics and challenges faced by the company within the current fiscal environment.
