The Hi-Tech Gears' Q1 FY 2025-26 Quarterly Results

Result Summary

• The Hi-Tech Gears Ltd reported a 24.2% 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 16.3%.
• Its expenses for the quarter were down by 22.1% QoQ and 13.3% YoY.
• The net profit decreased 66.3% QoQ and decreased 57.9% YoY.
• The earnings per share (EPS) of The Hi-Tech Gears Ltd stood at 3.2 during Q1 FY 2025-26.

Financial Statments for Q1 FY 2025-26

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

Company Overview

The Hi-Tech Gears Ltd is an enterprise engaged in the manufacturing of precision automotive components and gears. The company operates within the automotive industry, catering to both domestic and international markets. Over the years, it has established itself as a key player in the sector, delivering a range of products including transmission gears, shafts, and other critical components that are integral to the functioning of vehicles. As of the latest available information, there are no recent major developments or announcements from the company that can be highlighted. Details about specific strategic initiatives or corporate activities remain unavailable.

Revenue

During Q1FY26, The Hi-Tech Gears Ltd reported a total income of ₹220.09 crores, which represents a decrease of 24.2% compared to the previous quarter (Q4FY25), where the total income was ₹290.24 crores. When compared to the same quarter in the previous year (Q1FY25), which recorded a total income of ₹263.04 crores, there is a year-over-year decline of 16.3%. This data indicates a trend of decreasing revenue over both the quarter and the year. The drop in revenue is a significant factor to consider in assessing the company's financial performance, though the underlying reasons for this change are not detailed in the provided data.

Profitability

Profitability metrics for The Hi-Tech Gears Ltd in Q1FY26 show a decline. The Profit Before Tax was ₹10.51 crores, representing a decrease of 50.4% quarter-over-quarter from ₹21.19 crores in Q4FY25 and a 50.7% drop year-over-year from ₹21.31 crores in Q1FY25. After accounting for taxes, the Profit After Tax stood at ₹6.00 crores, which is a reduction of 66.3% from the previous quarter's ₹17.83 crores and a 57.9% decrease from ₹14.24 crores in the same quarter last year. The Earnings Per Share (EPS) followed a similar downward trajectory, dropping to ₹3.20 in Q1FY26 from ₹9.50 in Q4FY25 and ₹7.60 in Q1FY25, reflecting the reduced profitability.

Operating Metrics

The operating metrics for The Hi-Tech Gears Ltd in Q1FY26 highlight a total expense of ₹209.58 crores, which has decreased by 22.1% compared to ₹269.00 crores in Q4FY25. Compared to Q1FY25, when total expenses were ₹241.73 crores, there is a year-over-year reduction of 13.3%. This decrease in expenses aligns with the company's reduced revenue, maintaining a consistent cost management approach. The effective tax rate for Q1FY26 was also notable, with tax expenses at ₹4.51 crores, which is an increase of 34.2% from the previous quarter's ₹3.36 crores, yet a decrease of 36.3% from ₹7.08 crores in Q1FY25. The financial ratios, such as P/E ratio, debt-to-equity ratio, and current ratio, are not provided in the dataset and therefore cannot be calculated.