Chennai Ferrous Industries Reports 33.9% Profit Growth Despite Revenue Dip
Chennai Ferrous Industries Limited's Q1 financial results show a 6.2% decrease in total income to Rs. 69.45 crores, but a 33.9% increase in net profit to Rs. 2.33 crores compared to the same quarter last year. The company's net profit margin improved to 3.35% from 2.35%, and EPS rose to Rs. 6.46 from Rs. 4.82. However, quarter-on-quarter performance saw a significant decline with revenue dropping 69.1% and net profit falling 41.9%. The Board of Directors approved these unaudited results on August 14.

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Chennai Ferrous Industries Limited has released its financial results for the first quarter, showcasing a mixed performance with improved profitability despite a decline in revenue.
Revenue and Profit Analysis
The company reported a total income of Rs. 69.45 crores, marking a 6.2% decrease from Rs. 74.08 crores in the same quarter last year. Despite the revenue decline, Chennai Ferrous Industries managed to boost its net profit by 33.9%, reaching Rs. 2.33 crores compared to Rs. 1.74 crores in the corresponding quarter of the previous year.
Improved Profitability Metrics
The company's performance showed significant improvement in profitability metrics:
- Net profit margin increased to 3.35% from 2.35% year-over-year
- Earnings per share (EPS) rose to Rs. 6.46 from Rs. 4.82 in the corresponding quarter
Quarter-on-Quarter Comparison
When compared to the previous quarter, the company experienced a more pronounced decline:
- Revenue dropped 69.1% from Rs. 224.57 crores
- Net profit fell 41.9% from Rs. 4.01 crores
Financial Results Overview
Particulars | Q1 Current | Q1 Previous | YoY Change |
---|---|---|---|
Total Income | Rs. 69.45 cr | Rs. 74.08 cr | -6.2% |
Net Profit | Rs. 2.33 cr | Rs. 1.74 cr | +33.9% |
Net Profit Margin | 3.35% | 2.35% | +100 bps |
EPS | Rs. 6.46 | Rs. 4.82 | +33.9% |
Board Approval and Disclosure
The Board of Directors approved these unaudited financial results on August 14. In compliance with regulatory requirements, the company has published the results in one English language national daily and one daily newspaper in the regional language.
Chennai Ferrous Industries continues to navigate market challenges while focusing on improving its profitability. The significant increase in net profit margin and earnings per share indicates effective cost management and operational efficiency, despite the decrease in revenue. Investors and stakeholders will be watching closely to see if the company can maintain this improved profitability in the coming quarters while addressing the revenue decline.
Historical Stock Returns for Munoth Financial Services
1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
---|---|---|---|---|---|
-4.99% | -4.99% | +11.38% | +15.93% | +2.01% | +339.00% |