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Wendt India
22-Jul-2025 | 05:41
Net profit down 51% hit largely by 760 bps fall in OPM
Consolidated net sales (including other operating income) of Wendt India for the quarter ended Jun 2025 has increased 6.34% to Rs 52.17 crore.? Operating profit margin has declined from 21.50% to 13.95%, leading to 31% decline in operating profit to Rs 7.28 crore.??Raw material cost as a % of total sales (net of stock adjustments) increased from 23.98% to 30.18%. ??Purchase of finished goods cost fell from 10.58% to 9.33%. ??Employee cost increased from 20.25% to 21.82%. ??Other expenses rose from 23.48% to 25.64%.? ?Other income fell 12.82% to Rs 1.7 crore.??PBIDT fell 28.16% to Rs 8.98 crore.? PBDT fell 28.18% to Rs 8.97 crore.??Provision for depreciation rose 57.08% to Rs 3.44 crore.? Profit before tax down 46.31% to Rs 5.53 crore.??Share of profit/loss were nil in both the periods.??Provision for tax was expense of Rs 1.75 crore, compared to Rs 2.62 crore.??Effective tax rate was 31.65% compared to 25.44%. Minority interest was nil in both the periods.??Net profit attributable to owners of the company decreased 50.78% to Rs 3.78 crore.??
- Sales of Super Abrasives segment has gone up 8.74% to Rs 36.09 crore (accounting for 69.51% of total sales).??Sales of Machines Accessories and components segment has gone down 40.77% to Rs 4.33 crore (accounting for 8.34% of total sales).??Sales of Others segment rose 11.09% to Rs 5.01 crore (accounting for 9.65% of total sales).??Sales of Precision Products segment has gone up 11.70% to Rs 6.49 crore (accounting for 12.50% of total sales).??
- Profit before interest, tax and other unallocable items (PBIT) has slumped 52.20% to Rs 4.13 crore.??PBIT of Super Abrasives segment fell 16.22% to Rs 6.30 crore (accounting for 152.54% of total PBIT).??PBIT of Machines Accessories and components reported loss of Rs 3.30 crore compared to profit of Rs 0.21 crore.??PBIT of Others segment rose 12.82% to Rs 0.44 crore (accounting for 10.65% of total PBIT).??PBIT of Precision Products segment rose 32.69% to Rs 0.69 crore (accounting for 16.71% of total PBIT).??
- PBIT margin of Super Abrasives segment fell from 22.66% to 17.46%.??PBIT margin of Machines Accessories and components segment fell from 2.87% to 76.21%.??PBIT margin of Others segment rose from 8.65% to 8.78%.??PBIT margin of Precision Products segment rose from 8.95% to 10.63%.??Overall PBIT margin fell from 17.00% to 7.95%.??
Promoters? stake was 37.50% as of 30 June 2025 ,compared to 75.00% as of 30 June 2024 . ?
Wendt GmbH have sold 7,50,000 equity shares representing 37.5% stake in the company on 15th & 16th May 2025 through an offer for sale mechanism. Post this transaction, Wendt GmbH does not hold any equity shares in the Company and has fully exited its shareholding in the Company. The stake sale has also resulted in termination of the joint venture agreement (Shareholders? Agreement) with the other Promoter ? M/s. Carborundum Universal Limited. ?
Once 3M become the parent of Wendt GmbH in 2010, given 3m?s presence in abrasive business there was tussle between partners with CUMI offering to buyout Wendt?s stake in the company. But that was not got through. But now with divestment of stake by Wendt, CUMI has become sole promoter ending the more than decade old tussle between two JV partners. ?
Consequent to the termination of the joint venture and Wendt GmbH holding nil shares in the Company, their de-classification as Promoter of the Company has been approved by the BoD on July 21, 2025. ?
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| Wendt India : Consolidated Results | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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| Wendt India : Consolidated Segment Results | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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