(MENAFNEditorial) New Delhi, Delhi, India Aksh Optifibre Limited [BSE: 532351 | NSE: AKSHOPTFBR], the leadingIndianmanufacturer of Optical Fibre, Optical Fibre Cables, Fibre Reinforced Plastic rod and a major e-Governance & Turnkey service provider reported itsQ2 FY18 financial results.
During the quarter company achieved Revenues of Rs. 145 Crore, as compared to Rs 115 Crore registering a growth of 26% on QoQ basis. EBITDA of Rs. 15 Crore up by 41% on QoQ basis. EBIDTA margins have improved to 11%, as against 9% in previous quarter. PAT also increased to Rs 5.06 Crore from Rs 2.14 Crore.
Q2 FY18 Financial Summary
Gross Revenue at Rs. 145 Crore, up by 26% on QoQ basis. EBIDTA at Rs. 15 Crore, up by 41% on QoQ basis. PAT at Rs. 5.02 Crore, up by 134% on QoQ basis.
Mr. Satyendra Gupta, Deputy Managing Director at Aksh Optifibre Limited, commented, 'The quarter gone by has witnessed certain positive events which will shape a better future for the organisation in the times to come. Consistent efforts towards expansion of existing operations and strengthening core processes will lead to fruitful results in the quarters to come. The margins will strengthen further in the near future, as Company has taken steps to mitigate the risk from high raw material prices, by making operational its additional optical fibre capacity in its Bhiwadi plant facility. The Ophthalmic lens facility is in the process of rolling out its first batch of lenses soon, for which the trial run has already started.
During the quarter gone by the company's order execution remained robust as a result it achieved improved turnover, compared to the previous quarter. Despite, witnessing challenges in sourcing the key raw material for its optical fibre cable segment at the economically viable prices, company has still managed to improve its margins due to setting up its additional optical fibre towers in its Bhiwadi plant facility, which has become operational during the end of the quarter. However, the complete impact of the decreased cost of raw material will get fully captured in the subsequent quarters to come.
With the objective to maximize shareholders value and improve the competitive position of the combined entity, the company has merged its subsidiary company APaksh broadband Ltd with its parent company Aksh Optifibre Ltd. This initiative shall facilitate better integration, financial strength, tax savings and stronger balance sheet of the amalgamated entity.
Outlook
With the global IP traffic rising at rates above 20% per year, world cumulative fibre deployment passed a total of 3 billion fibre Km in 2016. Expected rollout of 5G will open new horizons and support new applications and new business cases for carriers, including: automotive, smart city, commercial M2M, other revenue streams. IoT and 5G is expected to spur fibre deployment in local areas and backbones. New mobile infrastructure will be expected to deploy extensive fibre and power networks. Mobile operators will be bound to use fibre for backhaul and fronthaul in most locations to meet bit-rate and latency requirements.
Amidst all the fibre oriented action taking place globally, Aksh is poised to grow and maintain its global market positioning. In concurrence with the global demand, the company has embarked upon its journey of global presence by expanding its footprints and has already announced capacity expansion plans for Optical Fibre & Optical Fibre Cable in Dubai and Mauritius. These plans are at a nascent stage of development, and will be favourable for the overall growth of the organization once being rolled out.
About Aksh Optifibre Limited
Aksh Optifibre Limited is a 30 year old organization which started with the manufacturing of Optical Fibre (OF) and Optical Fibre Cables (OFC)in 1994. In 1996-97 Aksh acquired Fibre Reinforced Plastic Rods (FRP) business which is a key raw material for Optical Fibre Cables. AKSH went Public in the year 2000 and is listed on National Stock Exchange and Bombay Stock Exchange. AKSH OPTIFIBRE LIMITEDis one of the leading providers of transmission solutions for the telecom industries globally. Various products & services are embedded in our diversified portfolio. The Company also deliversto e-governance services through its flagship programme 1 STOP AKSH with Government of Rajasthan and Aadhaar enrolment with UIDAI.
For more information kindly contact 1. Investor Relations: Pavleen Taneja -
2. Corporate Communications: Ankit Bourai-
Gaurav Mehta
Chief - Corporate Affairs & Company Secretary
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