Liquidity Crunch, Delayed Summer Impacted Q4 Results, Says Havells
The hike of import duty on consumer electronics to 20 percent affected Lloyd’s performance, says Havells CMD Anil Rai Gupta.
Havells India Ltd.’s earnings for the quarter ended March was affected by liquidity crunch and a delayed summer, according to its Chairman and Managing Director Anil Rai Gupta.
“Growth slowdown in the fourth quarter was due to liquidity crunch in November and December on account of crisis faced by non-banking financial companies,” Rai told BloombergQuint. “A delay of 45-50 days for the summer season to kick off impacted the fans and air conditioners segment.”
Doubling of custom duties levied on consumer electronics to 20 percent during the year affected earnings its air conditioner brand Lloyd, said Gupta.
“However, customs duty and foreign exchange-related issues should be solved as our (local) manufacturing are coming up with full production in the current quarter.Anil Rai Gupta, Chairman & MD. Havells
Key Highlights:(YoY)
- Revenue rose 8.6 percent to Rs 2,751.9 crore.
- Net profit declined 8.4 percent to Rs 206.8 crore.
- Ebitda fell 9.6 percent to Rs 323.2 crore.
- Operating margin at 11.7 percent versus 14.1 percent.
Shares of the company declined as much as 3 percent to Rs 709.20 apiece compared with a 0.60 percent advance in the Nifty Index.
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