MAN Industries reported a 5% drop in its revenue from operations to INR 465 crore in Q2FY23 compared to INR 490 crore seen in the year-ago period while the same decreased by 9% q-o-q as compared to INR 510 crore in Q1FY23.
EBIDTA falls q-o-q: The company reported an EBIDTA of INR 153 million, down 31% compared to INR 222 million a quarter ago. On an annual basis, EBIDTA declined by 64% to INR 423 million.
Profit after tax (PAT) down q-o-q: MAN Industries reported a PAT of INR 51 million, down by 48% compared to INR 98 million in the preceding quarter.
The low performance in Q2 was mainly due to abnormal fluctuations in foreign exchange and the sudden depreciation of the rupee. Also, the delay in the arrival of imported raw material led to a delay in starting of the IOCL project of INR 806 crore which has impacted the company’s performance during the quarter.
Highlights
Order books: The company’s unexecuted order book stands approximately at INR 800 crore. These orders will be executed within five to six months. Furthermore, the company expects good order books in the upcoming months. The company’s active bid books stand at over INR 15,000 crore.
Current capacity: Working towards optimum utilization of the current capacity, the company reported capacity utilisation of 60-70% due to unavailability of raw material as vessels arrived late.
Update on projects: ERW steel pipes project are also on track and progressing well as per the revised schedule. Out of INR 250 crore capex, more than INR 200 crore has been spent on ERW facility and most of the equipment have been acquired.
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