Greenlam Industries Ltd. announces financial results for Q4, FY2020

Greenlam Industries Ltd., leading manufacturers of surfacing products with its flagship brand Greenlam Laminates, Decowood Veneers, Mikasa Floors and Mikasa Doors & Frames, today announced its audited financial results for the Quarter and year ended 31st March 2020.

Highlights for Quarter ended 31st March 2020

- Net Sales reported at Rs. 324.0 crore, de-growth of 10.0% on YoY basis
- Laminates exports value grew by 11.8% and volume grew by 11.7% on YoY basis
- PBDIT reported at Rs. 45.2 crore, growth of 1.8% on YoY basis
- Net Profit reported at Rs. 21.7 crore, de-growth of 8.6% on YoY basis

Highlights for Year ended 31st March 2020

- Net Sales reported at Rs. 1320.6 crore, growth of 3.1% on YoY basis
- Laminates exports value grew by 11.0% and volume grew by 5.2% on YoY basis
- PBDIT reported at Rs. 178.2 crore, growth of 12.4% on YoY basis
- Net Profit reported at Rs. 86.7 crore, growth of 12.4% on YoY basis

For the fourth quarter ended on 31st March 2020, consolidated net revenues from operations witnessed a de-growth of 10.0%, at Rs. 324.0 crore as compared to Rs. 360.2 crore in the corresponding quarter of the previous financial year. Laminate exports grew by 11.8% YoY. Operating Profit increased by 1.8% at Rs. 45.2 crore as compared to Rs. 44.4 crore in the corresponding quarter last year. The company's net profit decreased by 8.6% at Rs. 21.7 crore, as compared to Rs. 23.8 crore in the corresponding quarter last year. Domestic business was severely impacted due to nationwide lockdown on account of COVID-19 outbreak.

For the year ended 31st March 2020, consolidated net revenues from operations witnessed a growth of 3.1%, at Rs. 1320.6 crore, as compared to Rs. 1280.7 crore in the corresponding previous financial year. Laminate exports grew by 11.0% YoY. Operating Profit increased by 12.4% at Rs. 178.2 crore as compared to Rs. 158.5 crore in the corresponding previous financial year. Net profit for the year increased by 12.4% at Rs. 86.7 crore as compared to Rs. 77.1 crore in the previous year.

Speaking on the financial results Mr. Saurabh Mittal, Managing Director and CEO, Greenlam Industries Ltd. said, "We have seen a reasonable financial performance in FY20 with topline growth of 3.1%, EBDITA and PAT grew by 12.4% each. Laminate export business grew by 11% whereas domestic business de-grew by 3.7%. The COVID-19 pandemic related lockdown initiated in March severally impacted our domestic business due to which overall domestic business de-grew by 3.0%. Overall volumes for laminate business also de-grew by 2.2% majorly due to de-growth in domestic laminate volumes. However, even in these challenging market situations, we were able to maintain control over our balance sheet and return ratios.

As the nationwide lockdown continued, it largely impacted our operations and sales in the current quarter as well. The economy is gradually opening up and we too have resumed operations across our manufacturing units and offices with highest standards of safety and hygiene. During the lockdown time we worked on our operating practices, cost structure and working capital cycles which should help to improve our business performance in the long run. These have been unprecedented times, however we are hopeful that the situation will continue to improve as more and more sectors open-up.

At Greenlam, it is our constant endeavor to bring the best in surfacing products to our consumers. That is why we provide Anti-bacteria property as a standard offering on our entire range of Greenlam Laminates and Greenlam Compacts from over 10 years. We continue our commitment to bring to our customers the superior quality, hygienic and germ-free products that aid them to redefine their interior spaces."

Shares of Greenlam Industries Ltd was last trading in BSE at Rs.718.35 as compared to the previous close of Rs. 677. The total number of shares traded during the day was 208 in over 34 trades.

The stock hit an intraday high of Rs. 719.9 and intraday low of 681.95. The net turnover during the day was Rs. 145318.