Finolex Cables Q2 FY22 Results- PAT Rises 117% YoY & 172% QoQ
Finolex Cables Ltd., an Indian manufacturer of electrical and telecommunication cables based in Pune, Maharashtra has announced its financial results for second quarter of FY22. Finolex Cables is the flagship company of the Finolex Group and has been operating since more than 50 years.
Finolex Cables Quarterly Financial Performance
Finolex Cables YoY Financial Results Comparison: Q2 FY22 v/s Q2 FY21
Total income of Finolex Cables has increased sharply by 46%, reaching ₹ 932.9 Cr in Q2 FY22, up from ₹ 639.41 Cr in Q2 FY21. Net profit of Finolex Cables Cable rose by 117% to ₹ 149.7 Cr in the quarter ended September 2021 as against ₹ 69.08 Cr during same quarter last year.
Finolex Cables QoQ Financial Comparison: Q2 FY22 v/s Q1 FY22
The revenue in second quarter of FY22 is up by 38% against ₹ 675.36 Cr reported in the previous quarter of FY22. Net Profit of the company in Q2 FY22 has drastically gone up by 172% at ₹ 149.7 Cr as compared to ₹ 55.08 Cr in Q1 FY22.
Finolex Cables Segment-Wise Performance
Electrical Cables: Total revenue of Finolex from electrical cables segment in Q2 FY22 has been ₹ 783.79 Cr, this is a sharp increase of 45.5% from Q2 FY21, which was ₹ 538.70 Cr and 40.6% higher than ₹ 557.55 Cr of Q1 FY22.
Electrical cables segment has displayed better results, as economic activities across the infrastructure sector have picked up significant pace in second quarter.
Communication Cables: Total revenue of Finolex Cables from sales of communication cables in Q2 FY22 has been ₹ 96.93 Cr. This is up by 36.6% from Q2 FY21, which was ₹ 70.97 Cr and 10.8% up from Q1 FY22 which was ₹ 87.48 Cr.
Within Communication Cables segment, “volume of metal-based products improved by 4% and Optic Fiber Cable volumes grew by over 80% during the quarter”, as mentioned in the company earning presentation of quarterly results.
Others: This segment of Finolex Cables Ltd. includes fans, water heaters, lamps, switches, switchgear and conduit pipes. Total revenue of this ‘Other’, or FMEG Segment in Q2 FY22 has been ₹ 47.54 Cr. This equates to a rise of 97.7% from Q2 FY21 numbers and 72.7% increase from Q1 FY22 figures. Revenue numbers for Q2 FY21 and Q1 FY22 were ₹ 24.05 Cr and ₹ 27.53 Cr respectively. This segment showcased growth due to the improved distribution footprint of the company.
Expressing on results of Finolex Cables Limited, Mr. Mahesh Viswanathan, Chief Financial Officer mentioned in Q2 FY22 Earnings Conference Call dated 15th November 2021 “Economic activity definitely was visibly improving, most markets had opened up after June and we did see an improvement in the main segments that contribute to higher income from real estate as well as the automobile sector”. He also mentioned that in second quarter, it was noticeable the steep price increase on all commodities, whether it was Copper, Aluminum, Steel, PVC, fuel, almost every item showed an increase. Therefore there have been margin pressures.