Q2 Earnings 2024: While the major companies across sectors and all of the IT services giants have already released their Q2 results, the quarter earnings season is now in full swing. Firms like Tata Consultancy Services (TCS), HCL Technologies, Infosys, Wipro, Tech Mahindra, Reliance Industries, Bharti Airtel, HUL, ITC, Marico, Dabur India, Adani Wilmar, Nestle India, BHEL, L&T, Adani Enterprises, Punjab National Bank, Axis Bank, HDFC Bank, LTIMindtree, Coal India, JSW Steel, BPCL, ICICI Bank, TVS Motor, Havells India, Paytm, Zomato, PVR Inox, Bajaj Auto, Piramal Pharma, among many others have announced their Q2 numbers.
Today, companies like Indian Railway Finance Corporation, ABB India, IRCTC, Exide Industries, Gland Pharma, KEC International, Amara Raja Energy & Mobility, Hatsun Agro Products, Bata India, Raymond, Procter & Gamble Health, Sun Pharma Advanced Research Company, Tilaknagar Industries, Jaykay Enterprises, among others are lined up to release their Q2 earnings report.
Earlier, Reliance Industries Ltd (RIL) had posted a profit decline of 4.8 per cent on-year at Rs 16,563 crore and revenue at Rs 235,481 crore. HCL Tech recorded Q2 profit at Rs 4,237 crore, up 10.5 per cent YoY and revenue at Rs 28,862 crore. TCS reported Q2 profit at Rs 11,909 crore, up 5.0 per cent YoY and revenue at Rs 64,259 crore. Infosys recorded Q2 profit at Rs 6506 crore and revenue at Rs 40,986 crore. Wipro, meanwhile, reported fiscal second quarter profit at Rs 3226.60 crore, up 21.0 per cent YoY and revenue at Rs 22,301.60 crore.
The company board declared an interim dividend of Rs 4 per share on equity shares of face value of Rs 2 each for the FY 2024-25 (i.e., @200 per cent of the paid-up share capital amounting to Rs 320 crore). The company fixed 14 November as the record date for the purpose of payment of interim dividend of FY25.
Indian Railway Catering and Tourism Corporation Ltd (IRCTC) on Monday posted a profit growth of 4.5 per cent during the second quarter of FY25 at Rs 307.87 crore in comparison to Rs 294.68 crore during the corresponding quarter of FY24. It posted revenue from operations at Rs 1064.00 crore, up 7.2 per cent as against Rs 992.40 crore during the same period of previous financial year. The company EBITDA stood at Rs 372.9 crore, up 1.7 per cent YoY.
Milind Thatte, Managing Director, P&G Health India, said, “Our strategy, centered on a focused portfolio of quality, trusted, and highly recommended brands where performance drives brand choice; superiority (across product, package, brand communication, retail execution, and value), constructive disruption and an agile accountable organization.
We are dedicated to enhancing consumer awareness programs and strengthening our relationships with our customers and stakeholders. We continue to invest in initiatives that address the evolving needs of both consumers and healthcare professionals, along with strengthening our go-to-market model. We have also strengthened our reach, distribution, and retail execution, positioning us for long-term competitiveness.”
Procter & Gamble Health Ltd on Monday posted its fiscal second quarter earnings with profit at Rs 82.33 crore, registering a growth of 25.6 per cent in comparison to Rs 65.57 crore during the corresponding quarter of FY24. It posted revenue from operations at Rs 313.41 crore, up 2.8 per cent as against Rs 304.93 crore during the same period of previous financial year. The company EBITDA stood at Rs 114.1 crore, up 28.7 per cent YoY.
Indian Railway Finance Corporation Ltd (IRFC) on Monday posted a profit of Rs 1612.65 crore for the fiscal second quarter, registering a growth of 4.4 per cent in comparison to Rs 1544.58 crore during the corresponding quarter of FY24. It recorded revenue from operations at Rs 6899.34 crore, up 2.0 per cent as against Rs 6761.02 crore during the same period of previous financial year.
The company board also declared an interim dividend of Re 0.80 per equity share of Rs 10 each.
A report by Anand Rathi Research Team stated, “With consolidated revenue dropping 5.5% and EBITDA at Rs5.5bn (vs. the Street’s Rs5.7bn estimate), Dabur’s Q2 was hurt by the inventory correcting in urban GT. However, management expects steady secondary sales growth, with market-share gains across categories. Further, it expects mid-single digit volume growth in H2, with flattish margins. We introduce FY27e and lower our FY25e/26e EPS by 5%/3% to factor in the Q2 figures and Sesa’s acquisition. Considering the stock price’s recent, ~20% fall and with the stock correction in urban GT behind (partly compensated by Sesa’s acquisition), we are optimistic about the company due to its rural salience (~45% revenue).”
Exide Industries announced the appointment of Pravin Saraf, Senior President & Head - Operations as Senior Management Personnel (SMP) of the company with effect from 4th November 2024.
Pravin Saraf brings over 35 years of national and international experience with organizations such as Bajaj, Bosch, Endurance Technology and Crompton Greaves Consumer Electrical Ltd. He has a proven track record of leading organisation through transformative periods. He has successfully managed both the Green field and Brown field capacity expansions, significantly enhancing profitability & operational excellence.
Avik Roy, MD & CEO, Exide Industries, said, ‘In the first half of the year, we have delivered an EBITDA and PBT margin of 11.4% and 9.0%, respectively. Efficient procurement coupled with cost optimisation initiatives has led to stability in operating performance, despite high commodity prices. For the near-term, business outlook is positive and commodity prices have started easing, which is expected to support profitability. At Exide, we are making multiple strides and are driving strategic initiatives to leverage synergies across our business verticals. We have undertaken organisational and business realignment which will enable us to strengthen our go-to-market strategy and to capitalise on the strong market demand. With our latest technologically advanced products and services and focus on cost efficiencies, we aspire to achieve strong growth in sales and profitability.”
Exide Industries Ltd on Monday reported its fiscal second quarter earnings on Monday with consolidated profit at Rs 233.40 crore, down 13.7 per cent in comparison to Rs 270.32 crore during the corresponding quarter of FY24. It posted revenue from operations at Rs 4,450.00 crore, up 1.8 per cent as against Rs 4,371.52 crore during the same period of previous fiscal year.
In a regulatory filing, the company said, “Efficient working capital management along with current profitability levels enabled us to maintain our track record of generating positive cash flows. Our balance sheet remains comfortable with zero debt and high net worth.”
Tube Investments of India Ltd on Monday recorded a profit of Rs 206.79 crore during the second quarter of FY25, posting a decline of 22.3 per cent in comparison to Rs 266.15 crore during the corresponding quarter of FY24. It recorded revenue from operations at Rs 4,924.55 crore, up 14.4 per cent as against Rs 4,305.62 crore during the same period of previous financial year. The company EBITDA stood at Rs 489.6 crore, down 13 per cent on-year.
Elara Securities report said, “Adani Ports and SEZ, with a total capacity of 627MMT, reported 220MMT volume in H1FY25, up 9% YoY against guided volumes of 460-480MMT for FY25. Volumes in H1 were majorly lower-than-guided range of 10-14%, on account of disruption at Gangavaram in Q1 and Mundra in Q2 to the tune of 8MMT. In Q2, Adani Ports completed the acquisition of Gopalpur Port along with signing of two new port concession agreements for Tanzania and Deendyal ports. It expects incremental volumes to flow in H2 from new ports and is confident of achieving full-year volume guidance. Healthy growth is expected from logistics on account of a shift from road to rail and pick-up in containers and from fertilizer and agriculture.”
Hatsun Agro Product Ltd on Monday reported its fiscal second quarter earnings with profit at Rs 64.32 crore, posting a decline of 17.1 per cent in comparison to Rs 77.57 crore recorded during the corresponding quarter of FY24. It posted revenue from operations at Rs 2,072.10 crore, up 8.7 per cent as against Rs 1,905.40 crore during the same period of previous financial year. The company EBITDA stood at Rs 241 crore, up 10.4 per cent YoY.
An analysis report by Elara Capital said, “V-Guard Industries’ (VGRD IN) Q2 revenue surged along with margin improvement, as robust electronics performance was partially offset by slower growth in appliances and Sunflame. The management expects margin to improve by 100-150 bps to reach pre-Covid level as in-house production rises. We lower our TP by 3% to Rs 475 from Rs 490 on 42x (unchanged) September FY26E P/E as we roll forward. We maintain Accumulate given continued margin improvement led by in-house manufacturing and growing penetration in the non-South region.”
Elara Securities report stated, “Larsen and Toubro (LT IN) reported strong operational performance, driven by growth in its core E&C portfolio. LT in H1 has received 45% of full-year inflows and is confident of achieving guided inflow levels with a strong order pipeline of Rs 8tn, largely contributed by Infrastructure and Hydrocarbon segments. Core E&C margins are likely to be in the range of 8.2-8.25% versus 7.6% in H1, led by faster execution of international projects (currently comprising 40% of the orderbook and 62% of Q2 inflows). Also, new initiatives such as Electrolyzer and Data Center segments are on track as regards commissioning. We maintain Accumulate with TP unchanged at Rs 4,051, valuing core E&C segment at FY27E P/E of 26x.”
A report by InCred Equities stated, “Orient Electric’s 2QFY25 revenue grew 16% YoY (-13% QoQ) to Rs6.6bn, 3.9% above our estimate and 5% above the Bloomberg or BB consensus estimate. The ECD segment’s revenue was up 21% YoY at Rs4.4bn while the lighting and switchgear segment grew 8.4% YoY to Rs2.2bn. Overall gross margin improved by 210bp YoY due to price hikes and cost- saving initiatives. EBITDA came in at Rs357m, up 73% YoY (-11% QoQ), 2% above our estimate and 15% above the BB consensus estimate. The EBITDA margin was up 175bp YoY at 5.4% (+10bp QoQ). PAT came in at Rs104m (vs. a net loss of Rs2m in 2QFY24) - 27% QoQ, in line with our estimate and 17% above the BB consensus estimate.”
An analysis report by Motilal Oswal Financial Services Ltd (MOFSL) stated, “Larsen & Toubro (L&T)’s results came ahead of our estimates, primarily led by better-than-expected order inflow and execution, decent margin performance, further decline in NWC, and improving RoEs. The company reported 21%/13%/5% YoY growth in revenue/EBITDA/PAT on a consolidated basis. The core E&C revenue growth at 28% YoY continued to outperform in Q2FY25 too, vs. guidance of mid-teens growth for the full year. Core E&C margins improved slightly YoY. Further support for execution growth and margins will come from improved execution in the coming quarters. Though a large part of inflows during the quarter were driven by international projects, it has hedged the company very well against weaker domestic inflows. Beyond the core business, L&T is also focusing on building up newer initiatives such as electrolyzers, semiconductors, data centers, and nuclear technology, as well as to further grow its real estate business.”
Kunal Vora, Head of India Equity Research, BNP Paribas, said, “Dabur's Q2FY25 numbers were a tad below BNPPEe. However, Dabur mentioned that the weakness was mainly due to a correction in distributor inventory to 21 days from 30 and heavy floods in North-East India hurting beverage sales. Dabur expects revenue growth to return to mid- to high-single digits, with no meaningful margin pressure in H2FY25. We had upgraded Dabur to O/P after its recent business update as we found the risk-reward balance favourable after its steep stock-price correction. Our positive view stays after the results. Dabur has traded at an average of 46x NTM P/E over the last decade and it has mostly rebounded from that level in the last five years. It is now trading at 46x/40x on FY26/FY27E P/E. We trim our FY25-27E EPS by 2-3% and continue valuing Dabur at 46x Dec-26E P/E.”
Today, companies like Indian Railway Finance Corporation, ABB India, IRCTC, Exide Industries, Gland Pharma, KEC International, Amara Raja Energy & Mobility, Hatsun Agro Products, Bata India, Raymond, Procter & Gamble Health, Sun Pharma Advanced Research Company, Tilaknagar Industries, Jaykay Enterprises, and others are queued up to release their Q2 results.
While major companies including Tata Consultancy Services (TCS), HCL Technologies, Infosys, Wipro, Tech Mahindra, Reliance Industries, Bharti Airtel, HUL, ITC, Marico, Dabur India, Adani Wilmar, Nestle India, L&T, Zomato, Paytm, PNB, ICICI Bank, Yes Bank, Axis Bank, HDFC Bank, BHEL, Piramal Pharma, PVR INOX, Maruti Suzuki, Bajaj Auto, already released their Q2 reports, the second quarter earnings season is now in full swing.
Greetings! With a number of major companies across industries already having released their Q2 earnings report, we, at FinancialExpress.com, are ensuring that we bring to you all the updates on the performance during the quarter. Going forward as well, we will continue to keep you updated on company performance, what’s helping their growth and what’s leading to a de-growth. Stay tuned.