The Waterbase Limited announces Q1 FY21 Results

The Waterbase Ltd. (TWL), pioneer in the Indian Aquaculture Industry with integrated offerings of hatcheries, shrimp feed and farmcare products supported by shrimp processing capacities has announced its financial results for the quarter ended June 30, 2020.

Financial Highlights - Q1 FY21

- Reported Total Income of Rs. 63 crore
- PBT of Rs. 6.6 crore
- PAT was Rs. 4.9 crore

Commenting on the results, Mr. Ramakanth V. Akula, CEO said, "As the Indian shrimp industry is solely dependant on exports, it faced significant upheaval during the quarter due to the Covid-19 pandemic and the subsequent fallout. Globally, due to varying restrictions in different countries there was a significant reduction in out-of-home consumption of seafood which was only partly compensated for by the increased retail demand. In the domestic market; in addition to the reduced farming activity we witnessed restrictions on movement of material and manpower during lockdown. Reverse migration of labour and non-availability of seed at Hatcheries also impacted shrimp production this summer.

The reduced level of activity during the quarter has led to a drop in volumes and consequently revenues. This has also impacted ancillary streams of hatchery and farmcare products. While we moved swiftly to protect the business and initiate cost containment measures, the reduced revenues have resulted in compression of profitability.

Looking ahead, the progression of the pandemic and lifting of restrictions globally will determine the pace of recovery. There are encouraging signs of restart in certain regions and markets which allows us to be cautiously optimistic for the prospects of the industry in the second half of the fiscal year. Even as the pandemic has impacted out-of- home consumption, we do believe that the demand for farmed shrimp is structurally intact. We are well poised to cater to the anticipated increase in farming activity in the months and quarters ahead."

Shares of WATERBASE LTD. was last trading in BSE at Rs.112.45 as compared to the previous close of Rs. 118.35. The total number of shares traded during the day was 93474 in over 1915 trades.

The stock hit an intraday high of Rs. 121 and intraday low of 112. The net turnover during the day was Rs. 10750383.

Source : Equity Bulls

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