27/05/2024
Eleted to share the financial results of EMSL
> Quantum of business that got shifted to FY25 to be reflected in FY25 results.
> Driven by the restructuring initiatives and robust growth triggers in place, the company expect strong growth to continue in upcoming years
The company's exceptional performance highlights its financial strength, operational excellence, and unwavering commitment to innovation, sustainability, and value creation for all stakeholders
Financial Highlights for FY 2023-2024:
· Revenue Growth: EMSL achieved a remarkable 48.84% increase in business revenue, soaring from INR 59.87 Cr in FY 2022-2023 to INR 89.12 Cr in FY 2023-2024 EBITA: EBIDTA of FY 24 is up at INR 20.12 Cr, against the the EBIDTA of the FY 23 at INR 13.80 Cr
· Consolidated Profit After Tax (PAT): The PAT is up from INR 9.16 Cr in FY 23 to INR 14.22 Cr in FY 24, up by 66 bps indicating improved efficiency.
· Standalone Sales: Standalone sales experienced a rise of 9.43%, increasing from INR 38.23 Cr in the previous fiscal year to INR 41.84 Cr.
· Standalone PAT: Standalone PAT also saw a 9.2% growth, climbing from INR 5.78 Cr in the last fiscal year to INR 6.31 Cr.
PAT margins after minority interest are up by 66 Bps as EMSL presently owns only 51% of Maple Heights Business Centre LLC.
Highlights
Standalone revenue increases 9.43% after restructuring, would have grown 20% without the effect of restructuring
Standalone SGA by 50bps due to higher investment in salaries and increased office presence
Standalone PAT margins down by 4 bps only. Would have increased by 30-50bps, however some Govt. related business moved to FY25 due to announcement of the general elections.
Analysis
EMSL completed its internal structuring in H2FY24 wherein
The business serving end clients/exhibitors/brands to its 99% subsidiary Digiglobe Advertising.
The overseas business was moved to its 51% subsidiary Maple Heights LLC Dubai
Venue related and business focused on serving event/exhibition organisors were retained in EMSL
As part of restructuring
Topline of INR 4.2 Cr/PAT 0.67 Cr was moved to Digiglobe in H2FY24.
Topline of INR 5.3 Cr/PAT 0.93 Cr was moved to Maple Heights LLC in H2FY24 resulting in reduction of INR 9.5 Cr of revenue and INR 1.6 Cr PAT from standalone numbers to its subsidiaries in H2 of FY24.
The adjusted H2 of FY24 figures for EMSL standalone adjusted to effect of restructuring would have been approximately INR 27.2 Cr sales and INR 3.96 Cr PAT in H2FY24.
The adjusted Full year FY24 figures for EMSL standalone, adjusted to effect of restructuring would have been approximately INR 50.24 Cr sales and INR 7.90 Cr PAT.
The effect of shift of revenue and PAT from EMSL to Digiglobe is largely neutral as the same is 99% consolidated.
