Crompton Greaves Consumer Electricals Reports 33% Increase In Net Profit
The company has raised Rs 600 crore through the allotment of non-convertible debentures on private placement basis in two series
Crompton Greaves Consumer Electricals Ltd on Friday reported a 33 per cent increase in consolidated net profit at Rs 125.95 crore in the first quarter ended June 30, on the back of higher sales. The company, which had posted a consolidated net profit of Rs 94.76 crore in the year-ago period, said it has raised Rs 600 crore through the allotment of non-convertible debentures on private placement basis in two series.
Consolidated revenue from operations in the first quarter stood at Rs 1,862.94 crore, as against Rs 1,050.48 crore in the corresponding period of the previous fiscal, Crompton Greaves Consumer Electricals Ltd (CGCEL) said in a regulatory filing. Total expenses were higher at Rs 1,693.09 crore, as against Rs 943.08 crore in the year-ago period, the company said.
“First quarter started with strong growth momentum and recorded robust revenue growth across businesses, in both Crompton and Butterfly,” CGCEL Managing Director, Shantanu Khosla said. Alternative channels such as e-commerce, canteen stores and rural markets continue to increase their share in the overall business, he added. Khosla said Butterfly (Butterfly Gandhimathi Appliances Ltd) in which the company had increased stake to 81 per cent in June this year, performed strongly in the first quarter post the takeover.
“Operational and cost synergies are under implementation,” he added. In the first quarter, CGCEL said electric consumer durables segment revenue stood at Rs 1,347.18 crore and lighting products revenue was at Rs 262.26 crore, while Butterfly product was at Rs 253.5 crore. In a separate filing, the company said it has raised Rs 600 crore through the allotment of non-convertible debentures.
The committee of debentures of the company on Friday have approved the allotment of 6,000 secured, rated, listed redeemable, non-convertible debentures (NCDs) of face value of Rs 10 lakh each aggregating to Rs 600 crore. The NCDs have been allotted on private placement basis in two series, it added. The series A comprising 3,000 NCDs has a coupon rate of 7.40 per cent per annum with tenor of 24 months commencing July 22, 2022. On the other hand, the series B of a similar number of debentures has a tenor of 36 months with coupon rate of 7.65 per cent per annum, it added.