Pidilite Industries Ltd posts Rs. 356.42 crore consolidated PAT in Q2 FY2020-21

PIDILITE INDUSTRIES LTD. has reported financial results for the period ended September 30, 2020.

Financial Results (Q2 FY20-21) - QoQ Comparison

The company has reported total income of Rs.1902.02 crores during the period ended September 30, 2020 as compared to Rs.897.84 crores during the period ended June 30, 2020.

The company has posted net profit / (loss) of Rs.356.42 crores for the period ended September 30, 2020 as against net profit / (loss) of Rs.26.78 crores for the period ended June 30, 2020.

The company has reported EPS of Rs.7.01 for the period ended September 30, 2020 as compared to Rs.0.53 for the period ended June 30, 2020.

Financials	Q2 FY20-21	Q1 FY20-21	% Change
Total Income	₹ 1902.02 crs	₹ 897.84 crs	111.84%
Net Profit	₹ 356.42 crs	₹ 26.78 crs	1230.92%
EPS	₹ 7.01	₹ 0.53	1222.64%

Financial Results (Q2 FY20-21) - YoY Comparison

The company has reported total income of Rs.1902.02 crores during the period ended September 30, 2020 as compared to Rs.1862.36 crores during the period ended September 30, 2019.

The company has posted net profit / (loss) of Rs.356.42 crores for the period ended September 30, 2020 as against net profit / (loss) of Rs.324.22 crores for the period ended September 30, 2019.

The company has reported EPS of Rs.7.01 for the period ended September 30, 2020 as compared to Rs.6.38 for the period ended September 30, 2019.

Financials	Q2 FY20-21	Q2 FY19-20	% Change
Total Income	₹ 1902.02 crs	₹ 1862.36 crs	2.13%
Net Profit	₹ 356.42 crs	₹ 324.22 crs	9.93%
EPS	₹ 7.01	₹ 6.38	9.87%

Financial Results (6 months ended FY 20-21) - YoY Comparison

The company has reported total income of Rs.2799.86 crores during the 6 months period ended September 30, 2020 as compared to Rs.3918.84 crores during the 6 months period ended September 30, 2019.

The company has posted net profit / (loss) of Rs.383.20 crores for the 6 months period ended September 30, 2020 as against net profit / (loss) of Rs.617.11 crores for the 6 months period ended September 30, 2019.

The company has reported EPS of Rs.7.53 for the 6 months period ended September 30, 2020 as compared to Rs.12.14 for the 6 months period ended September 30, 2019.

Financials	Half-Year Ended FY20-21	Half-Year Ended FY19-20	% Change
Total Income	₹ 2799.86 crs	₹ 3918.84 crs	-28.55%
Net Profit	₹ 383.20 crs	₹ 617.11 crs	-37.9%
EPS	₹ 7.53	₹12.14	-37.97%

Commenting on the quarter performance, Mr. Bharat Puri, Managing Director, Pidilite Industries Ltd, said: "This quarter saw steadily improving demand conditions each month. Consumer and Bazaar businesses grew volumes aided by strong growth in the rural and semi urban areas. B2B businesses as well as the metros, while improving sequentially have still to reach pre-covid levels. Our profitability was aided by benign input costs as well as strong cost optimisation measures.

While we are seeing signs of input costs hardening, we remain cautiously optimistic on steadily improving demand recovery. Our focus would be to continually drive volume growth via investment in our brands, in sales and distribution and in consumer relevant innovation."

Overall, the Consumer and Bazaar segment returned to growth reaching pre-Covid levels in most geographies. Growth was healthy in Construction Chemicals and DIY products. B2B segment continued to face headwinds, however it showed signs of recovery in the latter part of the quarter.

International subsidiaries have reported healthy double-digit constant currency growth. Domestic subsidiaries continued to witness challenging business conditions. However, performance has continued to improve sequentially during the quarter.

On 28th October 2020, the Company entered into a definitive agreement with Huntsman Group (USA) to acquire 100% stake in one of their subsidiary in India namely Huntsman Advanced Materials Solutions Private Limited (HAMSPL) for a cash consideration of approximately Rs. 2100 crores, excluding customary working capital and other adjustments. Huntsman Group is a leading global producer of differentiated organic chemical products. HAMSPL manufactures and sells Adhesives, Sealants and other products under well-known brands such as Araldite, Araldite Karpenter and Araseal. On 3rd November 2020, the Company has completed the acquisition of 100% stake in HAMSPL.

Shares of PIDILITE INDUSTRIES LTD. was last trading in BSE at Rs.1562.65 as compared to the previous close of Rs. 1566.4. The total number of shares traded during the day was 46240 in over 3135 trades.

The stock hit an intraday high of Rs. 1585 and intraday low of 1548.3. The net turnover during the day was Rs. 72258294.

Source : Equity Bulls

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