Taneja Aerospace Reports 38% Drop in Quarterly Profit to Rs 353 Lakh

Taneja Aerospace & Aviation Limited (TAAL) has reported a decline in its financial performance for the quarter ended September 30. The company, which operates in the aerospace and aviation sector, saw a significant decrease in its net profit and revenue compared to the same period last year.

Financial Performance

The key financial metrics for the quarter are as follows:

Metric	Q2 Current Year	Q2 Previous Year	Change
Net Profit	₹353.85	₹571.35	-38.07%
Revenue from Operations	₹960.13	₹1,352.38	-29.00%
Total Income	₹1,008.56	₹1,395.70	-27.74%
Basic EPS	₹1.39	₹2.24	-37.95%

The company's net profit for the quarter stood at ₹353.85 lakh, marking a significant decrease from ₹571.35 lakh reported in the corresponding quarter of the previous year. This represents a year-over-year decline of 38.07%.

Revenue and Income

Taneja Aerospace & Aviation also experienced a substantial decrease in its revenue from operations, which fell to ₹960.13 lakh from ₹1,352.38 lakh in the same quarter last year, representing a 29.00% decline. The total income for the quarter was ₹1,008.56 lakh, down from ₹1,395.70 lakh in the previous year, a decrease of 27.74%.

Half-Year Performance

For the half-year period, the company posted a profit of ₹740.31 lakh, compared to ₹1,755.78 lakh in the previous year, indicating a significant drop in profitability over a longer timeframe.

Earnings Per Share

The basic earnings per share (EPS) stood at ₹1.39 for the quarter, compared to ₹2.24 in the corresponding quarter of the previous year, reflecting a decrease of 37.95%.

The significant drops in profit, revenue, and EPS suggest that the company may be facing challenges in its operations or experiencing pressure in the aerospace and aviation market.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.84%	0.0%	-1.37%	+26.06%	-17.86%	+1,286.41%

Taneja Aerospace & Aviation Limited (TAAL) has reported a significant increase in its Q1 net profit, despite a slight decline in revenue. The company has also announced the proposed appointment of two new independent directors to its board.

Financial Performance

TAAL reported a substantial rise in its Q1 net profit, which soared to 35.00 billion rupees, compared to 34.60 million rupees in the same period last year. This remarkable growth in profit comes despite a marginal decline in revenue, which decreased to 85.00 million rupees from 91.00 million rupees year-over-year.

The company's financial performance for Q1 can be summarized as follows:

Metric	Q1 (Current Year)	Q1 (Previous Year)	Change
Net Profit	35.00 billion	34.60 million	+101,056.07%
Revenue	85.00 million	91.00 million	-6.59%
EBITDA	56.00 million	50.00 million	+12.00%
EBITDA Margin	65.88%	54.95%	+10.93 percentage points

Despite the revenue decline, TAAL managed to improve its operational efficiency, as evidenced by the increase in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) from 50.00 million rupees to 56.00 million rupees. The EBITDA margin also saw a significant improvement, rising to 65.88% from 54.95% in the previous year.

Board Appointments

In addition to the financial results, TAAL's Board of Directors has proposed the appointment of two new Additional Directors in the Independent Category:

Ms. Deepa Mathur: A finance professional with over 20 years of experience in finance, banking, compliance, taxation, strategic planning, audits, and legal and secretarial compliances.
Mr. Anil Sahu: A management professional with more than 30 years of experience in marketing and sales, having held leadership positions in steel/tube/engineering sector companies.

Both appointments are subject to security clearance from the Ministry of Civil Aviation and approval of members as per SEBI (LODR), 2015. The proposed term for both directors is 5 years from the receipt of security clearance.

Corporate Governance

The company has affirmed that neither Ms. Mathur nor Mr. Sahu is debarred from holding office as a Director by virtue of any SEBI order or any other such authority. These appointments are aimed at strengthening the board with diverse expertise in finance and management.

The Q1 financial results and the proposed appointments were approved at a Board meeting held on August 8, which commenced at 4:15 p.m. and concluded at 6:25 p.m.

Taneja Aerospace & Aviation Limited continues to navigate the challenging aerospace and aviation sector, demonstrating resilience through improved profitability despite revenue pressures. The proposed board appointments signal the company's commitment to enhancing its governance and strategic capabilities in the face of industry challenges.