V-Guard Q1 profit up 54% to ₹99 crore

V-Guard Industries on Wednesday reported a 54.11% increase in consolidated net profit at ₹98.97 crore for June quarter FY25 helped by improvement in margins with softening commodity prices and cost-effective initiatives.

The electrical goods manufacturer had clocked a net profit of ₹64.22 crore in April-June FY24, according to a regulatory filing.

Revenue from operations rose to ₹1,477.10 crore during the period under review from ₹1,214.76 crore in the corresponding period a year ago.

Total expenses were up 18.5% to ₹1,351.65 crore. Total income was higher by 21% at ₹1,484.01 crore in the June quarter.

"The business has delivered strong topline growth in electronics and consumer durables segments led by strong demand for summer products," Managing Director Mithun K Chittilappilly said.

However, the wires segment, which is the largest category under the electricals segment was impacted by trade de-stocking due to the softening of copper prices in June.

Overall, V-Guard witnessed a good performance in all regions, with the contribution from non-South markets to total revenue exceeding 50% during the quarter.

"Gross margins continue to improve with the benefit of softening commodity prices and various pricing and cost-effective initiatives flowing through," Chittilappilly said.

On the outlook, he said that the company is optimistic about delivering a good performance in the coming quarters.

Meanwhile, in a separate filing, V-Guard informed that its board has appointed Radha Unni as its chairperson.

Shares of V-Guard Industries were trading at ₹463.85 apiece, up 2.10% on the BSE.