The diagnostic services provider consolidated net profit tanked 51.9% to Rs 28.40 crore on 20.6% decline in net sales to Rs 266 crore in Q1 June 2020 over Q1 June 2019.
Consolidated profit before tax (PBT) dropped 57.4% to Rs 38.10 crore in Q1 June 2020 as against Rs 89.40 crore in Q1 June 2019. Current tax expense for the quarter tumbled 64.5% at Rs 12.10 crore as against Rs 34.10 crore in Q1 June 2019. The result was declared during market hours yesterday, 31 July 2020.
Normalised EBITDA skid 45.5% to Rs 54 crore in Q1 FY21 as against Rs 99 crore in Q1 FY20. Normalised EBITDA margin stood at 20.3% in Q1 FY21 as compared to 29.5% in Q1 FY20.
During the quarter, patient volumes declined 28.4% Y-o-Y (year-on-year) to 3.5 million. Cash, FDs and Mutual Funds (MF) at Rs 759.80 crore as on 30 June 2020 as against Rs 744.30 crore as on 31 Mar 2020, registering a growth of 2.08% Q-o-Q (quarter-on-quarter). The COVID-19 outbreak continues to adversely impact patient volumes in the month of April 2020 and May 2020. However, the business momentum improved in June 2020. COVID-19 testing contributed significantly to the turnover in Q1.
Commenting on the Q1 result announcement, (Hony) Brig. Dr. Arvind Lal, the executive chairman of Dr Lal Path Labs, has said that: "This was a difficult quarter, not just for Dr Lal Pathlabs, but for the entire nation and the economy. Business was impacted adversely, with volumes getting hit. However, we are confident of things returning to normal and the business performance getting back on track in some time post normalization. With the shift in trend from unorganized to organized players and our robust hub and spoke model, this will be achieved as we get back to providing accurate diagnostics services at affordable prices to our patients."
Bharath Uppiliappan, the chief executive officer (CEO) of Dr Lal Path Labs, has said that: "While Q1 FY21 has been extremely challenging for us, we have started to witness improvement in patient volumes as the lockdown is being relaxed. We are seeing good traction in the month of June over last year. We are focused on improving our service levels and test offerings to our patients and clients, enabling business to recover as fast as possible."
Dr. Lal PathLabs is a provider of diagnostic and related healthcare tests and services in India. As on 31 March 2020 the company has 216 clinical laboratories (including National Reference Lab at Delhi & Regional Reference Lab at Kolkata), 3,095 Patient Service Centers (PSCs) and 6,995 Pick-up Points (PUPs). Its' customers include individual patients, hospitals and other healthcare providers and corporate customers.
Shares of Dr Lal PathLabs rose 0.41% to Rs 1,888.85 on BSE on Friday. The stock traded in the range of Rs 1,862.60 to Rs 1,965 on that day.
On the technical front, the stock's RSI (relative strength index) stood at 59.422 as on Friday, 31 July 2020. The RSI oscillates between zero and 100. Traditionally, the RSI is considered overbought when above 70 and oversold when below 30.
On Friday, the stock was trading above its 50-day moving average (DMA) placed at 1,691.01 and its 200-day moving average (DMA) placed at 1,590.03.
Powered by Capital Market - Live News
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)