DHP India Reports 639% Surge in Q1 Net Profit, Invests ₹156 Crore in Mutual Funds
DHP India Limited reported a 639% year-on-year increase in net profit for Q1, reaching ₹456.46 lakhs. Net revenue grew by 58.6% to ₹2,059.94 lakhs, while total income rose 72.3% to ₹2,249.99 lakhs. The company made significant investments of ₹15,599.22 lakhs in equity-oriented mutual funds, resulting in unrealized gains of ₹567 lakhs. EPS for the quarter stood at ₹15.22.
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DHP India Limited, an ISO-certified manufacturer of engineering goods, has reported a remarkable financial performance for the first quarter. The company's net profit soared by 639% year-on-year, accompanied by significant investments in equity-oriented mutual funds.
Financial Highlights
- Net profit jumped to ₹456.46 lakhs, up from ₹61.79 lakhs in the same quarter of the previous year
- Net revenue from operations increased by 58.6% year-on-year to ₹2,059.94 lakhs
- Total income rose by 72.3% year-on-year to ₹2,249.99 lakhs
- Earnings per share (EPS) stood at ₹15.22 for the quarter
Revenue and Profit Breakdown
| Particulars | Current Quarter (₹ in Lakhs) | Previous Year Quarter (₹ in Lakhs) | YoY Change (%) |
|---|---|---|---|
| Net Revenue | 2,059.94 | 1,298.71 | +58.6% |
| Total Income | 2,249.99 | 1,305.87 | +72.3% |
| Net Profit | 456.46 | 61.79 | +639.0% |
Operational Performance
DHP India's operational efficiency was evident in its cost management. The company reported:
- Cost of materials consumed: ₹988.84 lakhs
- Employee benefits expense: ₹332.06 lakhs
- Other expenses: ₹234.92 lakhs
Strategic Investments
A notable development during the quarter was DHP India's significant investment in equity-oriented mutual funds. The company invested ₹15,599.22 lakhs (approximately ₹156 crore) in these funds, resulting in unrealized gains of ₹567 lakhs recognized as other comprehensive income.
About DHP India Limited
DHP India Limited is primarily engaged in the manufacturing of engineering goods. The company maintains ISO 9001, ISO 14001, and ISO 45001 certifications, underscoring its commitment to quality and operational excellence.
Conclusion
DHP India's first quarter results demonstrate strong growth in profitability and strategic financial management. The significant year-on-year increase in net profit, coupled with substantial investments in equity-oriented mutual funds, positions the company for potential future growth. Investors and stakeholders will likely keep a close watch on how these investments perform in the coming quarters and their impact on the company's overall financial health.
Historical Stock Returns for DHP India
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -1.28% | -0.34% | -2.90% | -0.55% | +1.76% | +60.13% |
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