Q1FY21 results: CEAT net profit falls by 142.87 per cent YoY to Rs 35.24 crore

CEAT Ltd., the flagship company of RPG Group, announced its quarterly results on July 29, 2020. The company posted a consolidated net loss of Rs 35.24 crore for Q1FY21, which declined by 142.87 per cent YoY, as compared to Q1FY20 when it reported consolidated profit of Rs 82.2 crore.                                                                                                                                                    

The consolidated net sales reported in Q1FY21 came in at Rs 1,120.16 crore, which declined by 36.07 per cent YoY from Rs 1,752.1 crore in Q1FY20. At EBITDA level, the company stood at Rs 102.01 crore in Q1FY21 that decreased by 38.96 per cent YoY. For Q1FY20, it posted an EBITDA of Rs 167.13 crore.                                                                                                                                                               

EBITDA margin as of Q1FY21 was at 9.11 per cent that declined by 43 bps YoY. The net profit margin in Q1FY21 came in at -3.15 per cent, which declined by 7.84 per cent YoY. The net profit margin in Q1FY20 was at 4.69 per cent.

In this unprecedented quarter, the company mainly focused on maximization of cash generation. It managed to contain net debt levels with adequate liquidity to meet financial obligations in spite of lower level of operations and have achieved healthy leverage ratios at the end of the quarter.

The stock closed with a drop of 1.11 per cent at Rs 867.45 on BSE.