Sterling Tools' Q1 FY 2025-26 Quarterly Results

Result Summary

• Sterling Tools Ltd reported a 27.8% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Jun (Q1 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a decline of 31.3%.
• Its expenses for the quarter were down by 26.6% QoQ and 29.7% YoY.
• The net profit decreased 44.7% QoQ and decreased 51.2% YoY.
• The earnings per share (EPS) of Sterling Tools Ltd stood at 2.5 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Sterling Tools Ltd is a company engaged in the manufacturing sector, primarily focused on producing fasteners. These products serve various industries, including automotive, infrastructure, and construction. The company is well-regarded for its expertise in providing high-quality fastening solutions which are critical components in the automotive industry. There are no recent major developments available in the provided information. Therefore, any new strategic initiatives or expansions that the company may have undertaken in recent months are not reflected in this analysis.

Revenue

In the first quarter of the fiscal year 2026 (Q1FY26), Sterling Tools Ltd reported a total income of ₹194.97 crores. This represents a decrease of 27.8% compared to the previous quarter (Q4FY25), where the total income was ₹270.19 crores. Year-over-year, there is a 31.3% decline in total income when compared to the first quarter of the fiscal year 2025 (Q1FY25), which stood at ₹283.66 crores. This significant reduction in revenue is indicative of substantial changes in the company's income generation during these periods.

Profitability

For Q1FY26, Sterling Tools Ltd recorded a profit before tax of ₹12.28 crores, which marks a decrease of 42.4% from the previous quarter's profit before tax of ₹21.32 crores. The year-over-year comparison shows a 48.7% decline from Q1FY25's profit before tax of ₹23.93 crores. The profit after tax for Q1FY26 was ₹8.99 crores, down 44.7% from the ₹16.25 crores reported in Q4FY25 and a 51.2% decrease from the ₹18.41 crores recorded in Q1FY25. Earnings per share (EPS) also followed a similar downward trend, with Q1FY26 EPS at ₹2.50, reflecting a 44.4% decline quarter-over-quarter and a 51.0% decline year-over-year from Q1FY25.

Operating Metrics

Total expenses for Sterling Tools Ltd in Q1FY26 amounted to ₹182.68 crores, which is a 26.6% reduction from the previous quarter's expenses of ₹248.88 crores. Compared to Q1FY25, expenses have decreased by 29.7% from ₹259.73 crores. The tax expense in Q1FY26 was ₹3.29 crores, showing a decrease of 35.1% from Q4FY25 and a 40.4% reduction from Q1FY25. These changes in operating metrics highlight the company's cost management strategies and tax obligations over the periods in question. The financial data provided does not include figures necessary to calculate key financial ratios such as P/E ratio, debt-to-equity ratio, or current ratio, hence these analyses are not included in this report.