Elgi clocks Rs 48.7 cr PAT in first quarter

The standalone PAT for the first quarter was Rs 44.6 crore compared to Rs 26 crore in the same period in 2021-22.The compressor business in the domestic market was as per plan.

The city-based Elgi Equipment, known for air compressor manufacturers, clocked a consolidated Profit After Tax (PAT) of Rs 48.7 crore in the first quarter ended June 30 this year, compared to Rs 12 crore in the same period in 2021-22.

Consolidated sales for the first quarter were Rs 694 crore as against Rs 489 crore in the corresponding quarter in 2021-22, the results for the first quarter announced by the company said on Friday. The standalone PAT for the first quarter was Rs 44.6 crore compared to Rs 26 crore in the same period in 2021-22.

The compressor business in the domestic market was as per plan. Business growth in Europe, North America, and Brazil was robust, while business growth in the Middle East, Africa, Australia, and South East Asian countries was subdued, a release from the company said.

The automotive business witnessed good growth but was subdued compared to the expectation, it said. According to the outlook for the second quarter, FY 2022-23, tight control over costs coupled with a sustained increase in business that is anticipated, will help the company meet its goals. However, the effect of the ongoing war, the impact of sanctions, rising inflation, expectations of recessionary behavior in some markets, forex fluctuations, and rising interest rates could act as a dampener, it said. The company is cautiously optimistic about moving toward its strategic business plans, the release said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)