Bajaj Electricals Ltd on Monday reported a 56 per cent decline in consolidated net profit to Rs 27.28 crore for the September quarter on account of weak consumer demand.
The company had posted a net profit of Rs 62 crore in the July-September period a year ago, according to a regulatory filing.
Its net sales declined 3.76 per cent to Rs 1,107.40 crore in the second quarter of the current fiscal as against Rs 1,150.77 crore in the year-ago period.
"The company has achieved a stable performance amidst a weak consumer demand sentiment," its chairman Shekhar Bajaj said in an earnings statement.
Bajaj Electricals' total expenses in the September quarter rose 1.2 per cent to Rs 1,097.11 crore.
Its revenue from consumer products fell 2.86 per cent to Rs 857.57 crore as against Rs 882.87 crore in the corresponding quarter in the preceding fiscal year.
Similarly, revenue from the lighting solutions segment declined 7.42 per cent to Rs 255.25 crore in comparison to Rs 275.73 crore a year ago.
"Consumer Products and Lighting Solutions revenues have contracted by 2.9 per cent and 7.4 per cent, respectively, for the quarter, due to demand slowdown and pricing constraints," the company said.
For the September quarter, the company's total revenue from operations, which includes other operating income, stood at Rs 1,112.82 crore, down 3.95 per cent.
Its total income in the reported quarter fell 1.81 per cent to Rs 1,142.26 crore.
"Meanwhile, we continue to monitor the demand and continue to focus on our long-term strategic objectives with a continued push on new products and brand strengthening," the chairman said.
The order book of Bajaj Electricals' was Rs 144 crore as of July 1, 2023, for Professional Lighting Projects.
The EPC (Engineering Procurement & Construction) segment has been demerged from September 1, 2023, and has a positive outlook for the future.
Shares of Bajaj Electricals were trading marginally higher at Rs 1,042 apiece on the BSE.