On May 20 2024, Dalmia Industrial Development announced its Q4 financial results. The company’s topline, or revenue, decreased year-over-year, yet profit saw a significant increase. Although revenue was down from the prior quarter, profit increased significantly.
This blog aims to provide an analysis of Dalmia Industrial Development’s Q4 performance, breaking down the key financial metrics and trends.
About the company
Dalmia Industrial Development Limited is a Kolkata-based firm specialising in the trading of designer Indian ethnic sarees and related accessories. Established as a public limited company on November 4, 1982, under the Companies Act of 1956, Dalmia began its business journey shortly after receiving its Certificate for Commencement of Business on November 16, 1982.
The company’s extensive product line consists of bridal suites, printed sarees, traditional sarees, designer embroidered sarees and semi-embroidered sarees. The firm also offers bridal suites and various other products.
Through its business, Dalmia introduces clients to the classic beauty of Indian sarees while highlighting the craftsmanship and stories that are woven into each garment. This strategy makes sure that the business conveys the rich cultural narratives that accompany its products in addition to selling them.
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Dalmia Industrial Development Q4 results
Dalmia Industrial Development Limited reported its Q4 results for the fiscal year 2024. The company’s revenue from operations stood at ₹7.45 lakh, reflecting a 40.64% decrease compared to the previous quarter. Year-over-year, the revenue also saw a decline of 42.07%, down from ₹12.86 lakh in Q4 FY23.
Total expenses for the quarter were negative at ₹22.51 lakh, marking a significant reduction from ₹18.47 lakh in Q3 FY24. This represents a quarter-over-quarter decrease of 221.87% and a year-over-year decrease of 194.11%, indicating substantial cost savings.
Another significant decrease was observed in the Selling, General, and Administrative (SG&A) costs, which decreased by 68.04% on an annual basis and 58.13% on a quarterly basis. The increased profitability was partly attributed to this decrease in costs.
The company’s profit before tax (PBT) was ₹34.31 lakh, a sharp increase from a loss of ₹4 lakh in the previous quarter. Compared to Q4 FY23, PBT surged by 472.79% from ₹5.99 lakh. Profit after tax (PAT) followed a similar trend, reaching ₹33.69 lakh, up 942.25% from the previous quarter’s loss of ₹4 lakh and 618.34% year-over-year from ₹4.69 lakh.
The earnings per share (EPS) for Q4 was ₹0.17, showing a significant year-over-year increase of 633.71%. This demonstrates a robust improvement in profitability despite the revenue decline.
| (₹ lakh) | Q4 FY24 | Q3 FY24 | QoQ % | Q4 FY23 | YoY % |
| Revenue from operations | 7.45 | 12.55 | -40.64 | 12.86 | -42.07 |
| Total expense | -22.51 | 18.47 | -221.87 | 23.92 | -194.11 |
| Profit Before Tax | 34.31 | -4.00 | 957.75 | 5.99 | 472.79 |
| Profit After Tax | 33.69 | -4.00 | 942.25 | 4.69 | 618.34 |
Source: Dalmia Industrial Development Financial Results
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Full-year analysis
Dalmia also released its financial results for the fiscal year 2024, along with the March quarter results. The company’s sales for the year was ₹87.09 lakh, which is a 16.53% decrease from the previous year’s ₹104.34 lakh. This decline in sales indicates a challenging year for the company.
Total expenses for FY24 were ₹95.78 lakh, reflecting a reduction of 23.81% compared to ₹125.71 lakh in FY23. This significant decrease in expenses, also seen in the quarter, demonstrates the company’s consistent efforts to manage costs more effectively throughout the year.
The PBT for the fiscal year was ₹2.37 lakh, down 52.51% from ₹4.99 lakh in the previous year. This decline highlights the impact of reduced sales on the company’s profitability. The profit of the year was ₹1.75 lakh, a decrease of 52.57% compared to ₹3.69 lakh in FY23.
Despite the lower profitability, the company’s efforts to reduce expenses helped mitigate some of the impacts of the reduced revenue. The fiscal year results reflect a need for strategic adjustments to improve sales and profitability moving forward.
Dalmia Industrial Development Financials
| Metric | Value (as of June 1, 2024) |
| Market Cap | ₹ 21.4 Cr. |
| Stock P/E | 1068 |
| Book Value | ₹ 10.2 |
| ROCE | 0.10 % |
| ROE | 0.10 % |
Peer analysis
| (₹ crore) | DIDL | REDINGTON |
| Sales | 0.87 | 41,227.60 |
| PAT | 1.75 | 1,081.24 |
| Face Value | 20.25 | 2.00 |
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Dalmia Industries Ltd share price performance
Dalmia Industries Ltd shares are currently suspended from trading on the Bombay Stock Exchange (BSE). The suspension is due to the company’s non-payment of annual listing fees. This non-compliance with BSE and SEBI regulations has led to a halt in trading activities.
The suspension means that investors cannot buy or sell shares of Dalmia Industries Ltd on the BSE. This situation can impact investor confidence and liquidity in the market. Shareholders and potential investors should stay informed about the company’s efforts to resolve this issue.
Bottomline
Dalmia Industrial Development Limited experienced mixed financial results for Q4 and FY24, with notable decreases in revenue but significant increases in profitability metrics such as PBT and PAT. The company’s efforts to manage costs have helped offset some of the impacts of reduced sales.
However, the suspension of its shares on the BSE due to non-payment of annual listing fees poses a challenge to investor confidence and liquidity. Moving forward, the company needs to address compliance issues and strategize effectively to improve sales and profitability. Investors should monitor updates closely to make informed decisions.
