V-Guard Industries Posts 54.11% Profit Surge in Q1 FY25

V-Guard Industries reported a 54.11% increase in consolidated net profit for Q1 FY25, reaching Rs 98.97 crore. This growth was fueled by improved margins due to softening commodity prices and cost-effective measures. Revenue from operations surged to Rs 1,477.10 crore compared to Rs 1,214.76 crore in the same quarter last year.

V-Guard Industries on Wednesday reported a 54.11 per cent increase in consolidated net profit at Rs 98.97 crore for the June quarter of FY25, helped by improved margins driven by softening commodity prices and cost-effective initiatives.

The electrical goods manufacturer had recorded a net profit of Rs 64.22 crore in the April-June quarter of FY24, according to a regulatory filing. Revenue from operations rose to Rs 1,477.10 crore during the period under review, up from Rs 1,214.76 crore in the corresponding period a year ago.

Total expenses rose by 18.5 per cent to Rs 1,351.65 crore, while total income was higher by 21 per cent at Rs 1,484.01 crore in the June quarter. ''The business has delivered strong topline growth in the electronics and consumer durables segments, led by strong demand for summer products,'' said Managing Director Mithun K Chittilappilly. However, the wires segment was impacted by trade de-stocking due to the softening of copper prices in June.

Overall, V-Guard witnessed a strong performance in all regions, with non-South markets contributing more than 50 per cent to total revenue during the quarter. ''Gross margins continue to improve with the benefit of softening commodity prices and various pricing and cost-effective initiatives flowing through,'' added Chittilappilly. V-Guard is optimistic about maintaining its performance in upcoming quarters. The board has also appointed Radha Unni as its chairperson. Shares of V-Guard Industries were trading at Rs 463.85 apiece, up 2.10 per cent on the BSE.

(With inputs from agencies.)