Anand Projects Limited Reports ₹8.22 Lakh Loss in Q1 Amid Rising Expenses
Anand Projects Limited, an EPC company, reported a net loss of ₹8.22 lakh in Q1, down from a profit of ₹18.52 lakh in the same quarter last year. Revenue remained stagnant at ₹30.00 lakh, while other income dropped significantly from ₹51.69 lakh to ₹0.59 lakh. Expenses increased, with employee benefit costs rising from ₹14.67 lakh to ₹23.60 lakh and other expenses increasing to ₹15.72 lakh from ₹10.18 lakh. Total expenses for the quarter were ₹39.42 lakh. The financial results were approved by the Board of Directors on August 11.
*this image is generated using AI for illustrative purposes only.
Anand Projects Limited , an engineering, procurement, and construction (EPC) company, has reported a net loss of ₹8.22 lakh for the first quarter, marking a significant downturn from the profit of ₹18.52 lakh recorded in the same quarter last year. The company's financial performance was impacted by stagnant revenue and increased expenses.
Revenue and Income
The company's revenue from operations remained unchanged at ₹30.00 lakh, mirroring the figure from the corresponding quarter of the previous year. However, other income saw a substantial decline, dropping from ₹51.69 lakh to a mere ₹0.59 lakh. This sharp reduction in other income significantly affected the company's overall financial position.
Rising Expenses
Anand Projects Limited experienced a notable increase in its expenses during the quarter:
- Employee benefit costs rose substantially from ₹14.67 lakh to ₹23.60 lakh.
- Other expenses increased to ₹15.72 lakh, up from ₹10.18 lakh.
- Total expenses for the quarter stood at ₹39.42 lakh, compared to ₹50.58 lakh in the same quarter last year.
Financial Overview
| Particulars (in ₹ lakh) | Current Quarter | Previous Year Quarter | Change |
|---|---|---|---|
| Revenue from Operations | 30.00 | 30.00 | 0.0% |
| Other Income | 0.59 | 51.69 | -98.9% |
| Total Income | 30.59 | 81.69 | -62.6% |
| Employee Benefits Expense | 23.60 | 14.67 | +60.9% |
| Other Expenses | 15.72 | 10.18 | +54.4% |
| Total Expenses | 39.42 | 50.58 | -22.1% |
| Net Profit/(Loss) | (8.22) | 18.52 | -144.4% |
Corporate Governance
The unaudited standalone and consolidated financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors in their meeting held on August 11. The company operates solely in the EPC segment and has complied with the necessary regulatory requirements, including the submission of results as per SEBI regulations.
Outlook
While Anand Projects Limited maintains its focus on the EPC sector, the company faces challenges in terms of revenue growth and cost management. The significant reduction in other income and increased employee benefit expenses have put pressure on the company's profitability. As the company moves forward, addressing these financial challenges while seeking growth opportunities in its core EPC business will be crucial for improving its financial performance in the coming quarters.
Investors and stakeholders will be closely watching how Anand Projects Limited navigates these challenges and implements strategies to return to profitability in the competitive EPC sector.
Historical Stock Returns for Anand Projects
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | +27.50% |
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