Press Releases
Blue Star’s consolidated Q2FY19 revenue grows 21% to Rs 1032.20 crores

Effective April 1, 2018, Blue Star Limited has adopted Ind AS 115 and accordingly, has realigned its revenue recognition policies appropriately. The accounting changes have been applied with retrospective effect to each of the prior reporting periods presented.
Consolidated Financial Performance for Q2FY19
• The Company has reported Revenue from Operations of Rs 1032.20 crores for the quarter ended September 30, 2018 on a consolidated basis, compared to Rs 849.82 crores during the same period in the previous year, representing a growth of 21%.
• The Operating Profit (PBIDTA excluding Other Income and Finance Income) for the quarter was Rs 58.07 crores compared to Rs 48.93 crores in Q2FY18, a growth of 19%.
• Net Profit for the quarter decreased by 14% to Rs 19.55 crores compared to Rs 22.74 crores in Q2FY18 mainly on account of higher input costs, increase in finance cost and lower margins in projects executed by the Joint Venture companies.
• Other Income (including finance income) for Q2FY19 was Rs 4.93 crores compared to Rs 4.51 crores in Q2FY18.
• Financial Expenses for the quarter increased to Rs 11.67 crores from Rs 5.87 crores in Q2FY18 due to enhanced working capital requirements in Q2FY19 and increased cost of funding amidst tighter liquidity conditions.
• The Tax expense for the quarter was Rs 7.84 crores compared to Rs 9.48 crores in Q2FY18.
• There was an exceptional expense of Rs 2.72 crores during the quarter on account of Platinum Jubilee Celebrations.
• Earnings per share for Q2FY19 (Face value of Rs 2.00) was Rs 2.03 vis-à-vis Rs 2.37 in Q2FY18.
• The Carried Forward Order Book as on September 30, 2018 grew by 7% to Rs 2217 crores as compared to Rs 2074 crores as on September 30, 2017.
Consolidated Segment Performance for Q2FY19
• Revenue of the Electro-Mechanical Projects and Packaged Air Conditioning Systems business for the quarter increased by 27% to Rs 630.97 crores from Rs 497.23 crores in Q2FY18, while Segment Results registered an increase of 27% from Rs 35.36 crores to Rs 44.75 crores in Q2FY19. Revenue growth during the quarter was driven by accelerated execution of major MEP projects and channel expansion, combined with innovative products and focus on growing segments such as Government and educational sectors for the Central Air conditioning business. Profitability improved mainly due to savings in project procurement costs and better margin profile of completed projects.
• Unitary Products revenues increased marginally by 9% to Rs 343.06 crores from Rs 315.09 crores driven by enhanced demand for commercial refrigeration products from the food retailing and quick service restaurants segments. However, Segment Results declined to Rs 8.20 crores compared to Rs 16.22 crores during the same period in the previous year on account of higher input costs and pricing pressures owing to a build-up of inventory due to a weak summer.
• The Professional Electronics and Industrial Systems Business revenues increased by 55% from Rs 37.50 crores in Q2FY18 to Rs 58.17 crores, while Segment Results increased nearly five-fold to Rs 12.56 crores in Q2FY19 from Rs 2.79 crores in Q2FY18. The growth in revenues and profitability was driven by increased billing
and commission revenues from supply of CT scanners to the Government of Uttar Pradesh and enhanced sales of non-destructive testing and data security solution products.
Consolidated Financial Performance for the half-year ended September 30, 2018 (H1FY19)
• For the half-year ended September 30, 2018, the Company reported Revenue from Operations of Rs 2540.03 crores as compared to Rs 2369.76 crores over the same period in the previous year, representing a growth of 7%.
• Operating Profit (PBIDTA excluding Other Income and Finance Income) increased by 22% to Rs 194.73 crores from Rs 159.53 crores during the same period last year.
• Net Profit for the half-year increased by 12% to Rs 111.13 crores as compared to Rs 98.89 crores in H1FY18.
Outlook
Suneel M Advani, Chairman of the Board, Blue Star Limited adds, “The Electro-Mechanical Projects and Packaged Air Conditioning Systems as well as Professional Electronics and Industrial Systems businesses witnessed a significant uptick in revenues and profitability. Though the market continues to be sluggish for the room air conditioners business due to reduced demand, we continue to grow faster than the market. Overall, Q2 has been a challenging quarter amidst global and local volatilities and headwinds. However, the Company has initiated several measures to mitigate the same.”

Get In Touch