Kirloskar Pneumatic Company Ltd (KPCL), a major player in air, refrigeration and gas compression business in India, announced its financial results for Q1 of the current fiscal. Total income of the company was at ₹274 crore vs ₹172 crore for FY22, registering about 60  per cent growth Y-o-Y.

EBIT margin was at 7.9 per cent compared to 6.1 per cent in the previous year. With no interest cost in the current year, PBT was at 7.9 per cent at ₹21.7 crore in Q1 compared to 5.7 per cent at ₹9.8 crore in Q1 of the previous year.

Profit after tax improved to 5.9 per cent of the total income and stood at ₹16.2 crore (₹7.1 cr equal to 4.1 per cent in Q1 PY 22. Basic EPS  improved to ₹2.52 per share compared to ₹1.10 in the previous year. Order book stood at over ₹1,225 crore as on July 1, compared to ₹1,265 crore on April 1, 22.

The company continued to execute its planned sales based on strong order bank. All the business segments performed to plan. The new challenge in supply chain and logistics, particularly for imports from Europe as well as China, was generally beneficial for the company in terms of competitiveness, the company stated in a press statement.

Company also executed a strategic export order which was finalised nearly a year back which marks its entry in overseas Oil & Gas Sector. This, however, has some effect on material cost for the quarter.

While enquiries remained strong, finalisation of orders remain slower than before in line with the general global uncertainty. 

“We continue to have a strong order bank of over ₹1,225 crore. Both the new products, the hydo-booster compressor and the Khione Screw compressor have passed all the internal and external testings and are being launched in this quarter,” the company added.

Compression business continues to be over 95 per cent of the company’s revenue and remains as only reporting segment. All other activities have been grouped under other non-reportable segments.