Walchandnagar Industries | Return of a Golden Era

I don’t think the results are that great.

1. The operating costs of the company seem out of control. The expense to operating revenue ratio has surged to 1.32 ( 1.28 in Q1-24). The effect is not visible due to high other income on sale of land (2059 lakhs) which is exceptional in nature.

2. Ignoring the impact of exceptional other income, the Loss stands at 2232 lakhs ( 1141 lakhs in Q1-24)
   That is widening of 95% approx.

3. The revenue of Foundry business has taken a hit of 18% yoy. No particular reason provided by the management for this variation.

4. Order book of 33,930 lakhs is on hold from customers end. No visibility of materialisation of the same.

Ofcourse the impact of finance cost savings on loan is will be visible from the next quarter.

Inviting everyone’s views on this.