Artson Limited Swings to Profit in Q1, Revenue Surges 79%

Artson Limited , a supplier of equipment, steel structures, and site services for mechanical works, has reported a significant turnaround in its financial performance for the first quarter. The company's unaudited financial results, approved by the Board of Directors on July 22, show a marked improvement in both revenue and profitability.

Financial Highlights

Revenue Growth

Artson Limited witnessed a substantial increase in its revenue from operations, which rose to ₹4,474.49 lakhs in the current quarter, up from ₹2,497.39 lakhs in the same quarter of the previous year, representing a robust growth of 79.17%. The total income for the quarter stood at ₹4,475.30 lakhs, compared to ₹2,503.12 lakhs in the previous year's corresponding quarter.

Profitability Improvement

The company successfully turned its operations profitable, reporting a profit before tax of ₹46.67 lakhs in the current quarter, as opposed to a loss of ₹68.85 lakhs in the corresponding quarter of the previous year. The net profit for the quarter came in at ₹21.59 lakhs, marking a significant improvement from the net loss of ₹49.34 lakhs in the same period last year.

Earnings Per Share

The earnings per share (EPS) for the current quarter stood at ₹0.06, compared to a loss per share of ₹0.13 in the same quarter of the previous fiscal year.

Operational Overview

Artson Limited operates in a single business segment, focusing on the supply of equipment, steel structures, and site services for mechanical works. The company's improved performance can be attributed to increased project execution and better operational efficiency.

Board Meeting Outcomes

In addition to approving the quarterly results, the Board of Directors also:

1. Approved the Cost Audit Report for the financial year ended March 31, 2025.
2. Approved the notice for convening the 46th Annual General Meeting (AGM) of the Company.

The company will hold its 46th AGM through Video Conference (VC) or Other Audio-Visual Means (OAVM), with the exact date to be announced later.

Auditor's Review

Price Waterhouse & Co Chartered Accountants LLP, the statutory auditors of Artson Limited, have issued an unmodified opinion on the unaudited financial results for the quarter. This indicates that the financial statements are free from material misstatements and comply with the applicable accounting standards.

Going Concern Assessment

Despite the improved performance, Artson Limited continues to have significant accumulated losses. However, the management and Board of Directors have assessed that the company will be able to meet its cash flow requirements for the next twelve months. This assessment is based on:

1. A letter of support from the holding company, Tata Projects Limited, promising adequate business, financial, and operational support.
2. Review of the approved business plan and future cash flow projections.

The positive quarterly results and the support from its parent company indicate that Artson Limited is on a path to financial recovery and sustainable operations.