Craftsman Automation (CRAFTSMAN) Q4 19/20 earnings summary

Executive summary

• FY20 operating revenue fell to ₹1,483.38 crore from ₹1,809.63 crore; standalone PBT was ₹53.55 crore and PAT ₹36.65 crore, down from ₹137.96 crore and ₹94.18 crore.

• COVID-19 and the automotive slowdown weighed on performance; industrial engineering growth and rigorous cost controls partly offset weaker automotive sales.

Financial highlights

• Standalone EBITDA was ₹404.14 crore versus ₹427.29 crore; finance costs rose to ₹148.60 crore from ₹131.05 crore, including ₹10.60 crore lease-liability interest under Ind AS 116.

• Consolidated revenue was ₹1,492.46 crore versus ₹1,818.00 crore; consolidated PAT was ₹40.01 crore versus ₹99.52 crore.

• Consolidated EPS was ₹19.88 versus ₹49.46; excluding the exceptional item, EPS was ₹21.75 versus ₹49.46.

Outlook and guidance

• COVID-19 lockdown, weak consumption and delayed investment created revenue and cash-flow uncertainty; measures focused on workforce safety, cost control and assessing liquidity needs.

• Management expected operating cash inflows and access to long- and short-term funds to meet obligations despite the working-capital deficit.