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Paramount Communications Ltd. — Interim / Quarterly Report 2025
Aug 9, 2024
59350_rns_2024-08-09_a23ebc99-f7d9-4d16-a1f4-5f5a25812792.pdf
Interim / Quarterly Report
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EARNINGS RELEASE Q1 FY25 9[th] August, 2024
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WIRING INDIA WITH THE WORLD’S BEST
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CIN: L74899DL1994PLC061295. Corporate Office: Paramount House, KH-433, Maulsari Avenue, Westend Greens, Rangpuri, New Delhi-110037
Q1 FY25 Earnings Update:
Revenue from Operations stood at a robust Rs. 3,210.6 Mn for Q1 FY25 EBITDA showed a 61.6% increase in Q1 FY25 over Q1 FY24 PAT recorded a growth of 74.1% in Q1 FY25 over Q1 FY24
New Delhi, 9th August 2024: Paramount Communications Limited (“PCL” or “The Company”), established in 1955, is a prominent player in India's wire and cable industry, producing high-quality products for various infrastructure segments. It is engaged in manufacturing of Wires and Cables comprising of power cables, telecom cables, railway cables and specialised cables.
Paramount delivers another set of robust performance
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Revenue EBITDA PAT
Rs. 3,210.6 Mn Rs. 299.1 Mn Rs. 253.0 Mn
+52.5% +61.6 % +74.1 %
YoY YoY YoY
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| Revenue Mix | Q1FY25(Rs. In Mn) | Q1FY25(%) |
|---|---|---|
| Power Cables | 1,203.6 | 37.5% |
| RailwayCables | 639.8 | 19.9% |
| Telecom Cables | 141.4 | 4.4% |
| House Wires | 192.2 | 6.0% |
| Exports | 882.7 | 27.5% |
| EPC Projects | 17.6 | 0.5% |
| Pipe & Others | 133.3 | 4.2% |
| Total | 3,210.6 | 100.0% |
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Revenue (Rs. in Mn)
3,500.0 3,233.7 3,210.6
3,000.0
2,500.0 2,105.4
2,000.0
1,500.0
1,000.0
500.0
0.0
Q1 FY24 Q4 FY24 Q1 FY25
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PAT (Rs. In Mn) & PAT Margin (%)
400.0 10.0%
9.0%
7.8% 8.0%
300.0
6.8%
6.0%
200.0
4.0%
100.0
2.0%
0.0 0.0%
Q1 FY24 Q4 FY24 Q1 FY25
PAT PAT margins
145.3 294.9 253.0
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EBITDA (Rs. In Mn) & EBITDA Margin
(%)
400.0 9.6%
300.0 9.2%
9.2% 9.2%
200.0
8.8%
100.0 8.7%
0.0 8.4%
Q1 FY24 Q4 FY24 Q1 FY25
EBITDA EBITDA margins
Continous scaling up of orderbook
6000.00
114 93
165 733 2060
4000.00 390708050 525566577 1077417374 1652073
100 859 207
860
2000.00
2688 3111 2940
2060
0.00
Q2FY24 Q3FY24 Q4FY24 Q1FY25
Power Cables Railway Cables Telecom Cables
House Wires Exports EPC Projects
Pipe & Others
185.1 298.8 299.1
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Business Updates during the Quarter:
- ICRA Limited has assigned a long-term rating of BBB to the Bank Facilities of Rs. 150.00 crore. The Outlook on the long-term rating is Stable.
Consolidated Profit & Loss Statement:
| Partculars(Rs. Mn) | Q1 FY25 | Q1 FY24 | YoY(%) | Q4 FY24 |
|---|---|---|---|---|
| Revenue from operatons | 3,210.6 | 2,105.4 | 52.5% | 3,233.7 |
| Other income | 31.5 | 17.3 | 27.7 | |
| Total revenue | 3,242.1 | 2,122.7 | 52.7% | 3,261.4 |
| Total expenses excluding depreciaton, amortzaton, and fnance cost |
2,943.0 | 1,937.6 | 2,962.6 | |
| EBITDA(In OI) | 299.1 | 185.1 | 61.6% | 298.8 |
| EBITDA Margin %(in OI) | 9.2% | 8.7% | 9.2% | |
| Depreciaton & Amortzaton | 27.5 | 21.7 | 25.7 | |
| Finance Cost | 12.6 | 18.0 | 14.2 | |
| PBT | 259.0 | 145.3 | 258.9 | |
| Tax Expense | 6.0 | - | (36.1) | |
| PAT | 253.0 | 145.3 | 74.1% | 294.9 |
| PAT Margin % | 7.8% | 6.8% | 9.0% | |
| Diluted EPS | 0.83 | 0.72 | 1.00 |
Management Commentary
We are pleased to report robust financial and operational performance for Q1FY25, highlighting the strength of our business model and strategic initiatives. Our strong operational execution and solid business fundamentals led to notable achievements across key financial metrics.
In Q1FY25, our company saw significant revenue growth, with revenue from operations reaching Rs. 3,210.6 Mn, an increase from Rs. 2,105.4 Mn in Q1FY24, marking a Y-o-Y growth of 52.5%. This impressive growth was driven by robust demand for our products in both domestic and international markets, with a healthy recovery in the USA markets. We are optimistic about maintaining this growth trajectory throughout FY25, bolstered by our strategic initiatives and market expansion efforts.
Our strategic initiatives to enhance operational efficiencies have yielded positive results, leading to a notable increase in our EBITDA margin from 8.7% in Q1FY24 to 9.2% in Q1FY25. Specifically, our EBITDA grew from Rs. 185.1 Mn in Q1FY24 to Rs. 299.1 Mn in Q1FY25, marking a 61.6% Y-O-Y growth. This underscores the strength of our business model and our ability to adapt effectively to market conditions.
Our PAT for Q1FY25 improved significantly by 74.1%, increasing from Rs. 145.3 Mn in Q1FY24 to Rs. 253.0 Mn in Q1FY25 . The substantial repayment of ARC debt has notably strengthened our balance sheet, resulting in a healthier financial position. Further, the recent assignment of credit rating from ICRA is a positive step towards approaching bank debt market to meet working capital requirements and making use of capital more judiciously. Also, our debt repayment has also enhanced our financial flexibility, allowing us to invest more aggressively in growth opportunities to prepare us for next phase of growth.
We are pleased to inform our stakeholders that we have fully repaid all outstanding obligations to Invent Assets Securitisation & Reconstruction Private Limited (Invent), including the dues originally owed to the State Bank of India (SBI) and acquired by Invent. This accomplishment underscores our commitment to financial prudence and the strengthening of our balance sheet, ensuring the long-term sustainability and growth of our company.
The business environment is highly favorable, driven by rising demand in railways, power, renewable energy, and telecommunications, which is fueling our growth and expansion. Increased government spending and private investments in infrastructure and construction are benefiting the cable and wire industry. Our robust order book, balanced export-domestic sales mix, and successful presence in the USA B2C market have been pivotal to our performance. Our diverse product portfolio and commitment to technology and innovation enable us to address the growing needs of the construction and power distribution sectors. With promising industry prospects and rising demand for high-quality products spurred by infrastructure development, renewable energy investments, and telecom advancements, we are well-positioned to capitalize on these opportunities and enhance our market share. Our expanding order book, currently stands at Rs. 5,558.0 Mn, reflecting strong client confidence and reinforcing our outlook for sustained growth, underscoring the strength of our client relationships and our ability to consistently meet our commitments.
Overall, our progress during Q1FY25 has been robust, setting a solid foundation for continued growth throughout FY25. We remain committed to driving operational efficiencies, expanding our market presence, and delivering value to our stakeholders. The favorable business environment and increasing demand across various sectors provide a promising outlook for our company as we navigate the opportunities and challenges ahead.
About Paramount Communicatons Limited:
Paramount Communications Limited, founded in 1955, stands as a prominent player in wire and cable Industry, renowned for its high-quality products across diverse infrastructure segments. With advanced facilities in Rajasthan and Haryana, Paramount offers a comprehensive product range of over 25 distinct products and 2,500 SKUs. The company holds a three-star export house status from the Government of India and has catered to more than 600 institutional clients. Its extensive network includes over 150 channel partners, 250+ retail locations, and collaborations with over 7,000 electricians. Paramount's adept and experienced R&D team positions it as a prominent and dependable player in the industry.
For further information on The Company, please visit: htps://paramountcables.com
S.K.Agarwal (CFO) Krunal Shah/Naman Maheshwari Paramount Communications Limited Captive IR Strategic Advisors Pvt. Ltd. Contact: +91-1145618800/8900 Contact: +919372467194 Email: [email protected] Email: [email protected] /[email protected]
Disclaimer:
CERTAIN STATEMENTS IN THIS DOCUMENT MAY BE FORWARD-LOOKING STATEMENTS. SUCH FORWARD-LOOKING STATEMENTS ARE SUBJECT TO CERTAIN RISKS AND UNCERTAINTIES LIKE GOVERNMENT ACTIONS, LOCAL POLITICAL OR ECONOMIC DEVELOPMENTS, TECHNOLOGICAL RISKS, AND MANY OTHER FACTORS THAT COULD CAUSE OUR ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTEMPLATED BY THE RELEVANT FORWARD-LOOKING STATEMENTS PARAMOUNT COMMUNICATIONS LIMITED WILL NOT BE IN ANY WAY RESPONSIBLE FOR ANY ACTION TAKEN BASED ON SUCH STATEMENTS AND UNDERTAKES NO OBLIGATION TO PUBLICLY UPDATE THESE FORWARDLOOKING STATEMENTS TO REFLECT SUBSEQUENT EVENTS OR CIRCUMSTANCES.