India's V-Guard posts Q2 profit in line with estimates

V Guard Industries

31/10/2023 09:40

BENGALURU, Oct 31 (Reuters) - India's V-Guard Industries
 VGUA.NS  reported second-quarter profit on Tuesday in line with
analyst estimates, as more Indians bought air conditioner
stabilisers and inverters in a quarter that saw the country's
driest monsoon in over a century.
    The electronic products manufacturer maker said its
consolidated net profit rose to 589.5 million rupees ($7.08
million) in the quarter ended Sept. 30 from 436.6 million rupees
a year earlier.
    Analysts, on an average, had expected a profit of 589.3
million rupees, according to LSEG data.
    Consolidated revenue from operations rose 14.9% to 11.34
billion rupees. Monsoon rainfall this year was its lowest since
2018 due to the El Nino weather pattern, Reuters reported,
resulting in a pick-up in demand for cooling products.
    Copper prices were also stable, analysts said, and demand
from the housing and infrastructure sectors remained healthy,
with exports rebounding.
     Revenue from the electricals segment, which accounted for
nearly 41% of the company's revenue and includes products such
as electric water heaters and fans, grew nearly 10%.
    Revenue from electronics segment, which accounted for around
23% of total revenue and includes products such as stabilizers
and inverters, grew 12.2%.  
    Shares of the company rose as much as 1.9% after results. It
had climbed nearly 9% during the Sept. quarter. 
   

($1 = 83.2426 Indian rupees)

 (Reporting by Navamya Ganesh Acharya in Bengaluru; Editing by
Janane Venkatraman)
 ((Navamya.GaneshAcharya@thomsonreuters.com; +91 8805175330 ;))