Alacrity Securities Reports Mixed Q1 Results: Revenue Dips, Profitability Improves
Alacrity Securities Limited's Q1 unaudited results show a 19.6% year-on-year decrease in revenue from operations to ₹70.63 crore. Despite this, the company improved profitability with a 13.1% increase in profit before tax to ₹5.13 crore and a 7% rise in net profit to ₹3.84 crore. Total expenses decreased by 24.2% to ₹65.59 crore, indicating improved operational efficiency. The company's earnings per share (EPS) decreased to ₹0.82 from ₹1.50 in the corresponding quarter.
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Alacrity Securities Limited has released its unaudited financial results for the first quarter, revealing a mixed performance with declining revenue but improved profitability.
Revenue Decline
The company reported a 19.6% year-on-year decrease in revenue from operations, which stood at ₹70.63 crore for the quarter, compared to ₹87.86 crore in the same quarter last year. Total revenue, including other income, fell by 22.3% to ₹70.72 crore from ₹91.04 crore in the corresponding quarter of the previous year.
Improved Profitability
Despite the revenue decline, Alacrity Securities managed to improve its profitability:
- Profit before tax (PBT) increased by 13.1% to ₹5.13 crore, up from ₹4.53 crore in the corresponding quarter of the previous year.
- Net profit rose by 7% to ₹3.84 crore, compared to ₹3.58 crore in the same period last year.
Operational Efficiency
The company demonstrated improved operational efficiency:
- Total expenses decreased by 24.2% to ₹65.59 crore.
- Purchase of stock-in-trade saw a significant reduction of 37.8% to ₹69.41 crore.
- Positive inventory changes of ₹5.71 crore were reported, compared to negative changes of ₹26.64 crore in the previous year.
Financial Highlights
| Particulars (₹ in crore) | Q1 Current | Q1 Previous | YoY Change |
|---|---|---|---|
| Revenue from Operations | 70.63 | 87.86 | -19.6% |
| Total Revenue | 70.72 | 91.04 | -22.3% |
| Profit Before Tax | 5.13 | 4.53 | +13.1% |
| Net Profit | 3.84 | 3.58 | +7.0% |
| Total Expenses | 65.59 | 86.50 | -24.2% |
Other Key Points
- Earnings per share (EPS) decreased to ₹0.82 from ₹1.50 in the corresponding quarter.
- The Board of Directors approved these unaudited results at their meeting.
- The company's auditors, CLB & Associates, have carried out a limited review of the financial results and expressed an unqualified opinion.
Alacrity Securities Limited continues to operate within a single primary business segment. The company's ability to improve profitability despite revenue challenges suggests effective cost management and operational adjustments during the quarter.
Investors and stakeholders will be watching closely to see if the company can maintain this improved profitability while working to reverse the trend in revenue decline in the coming quarters.
Historical Stock Returns for Alacrity Securities
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +2.22% | -0.24% | +2.34% | -14.03% | -59.06% | +747.83% |
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