Vakrangee tumbled 5 per cent early on Friday as March quarter net profit took a hard knock.
The company reported 49.82 per cent year-on-year fall in net profit at Rs 75.96 crore for the quarter to March 2018. It had posted a net profit of Rs 151.39 crore in the same quarter last year.
The scrip was down 4.96 per cent at Rs 41.20 at around 9.25 am today. The BSE Sensex slipped 23.42 points, or 0.07 per cent, at 35,576.40.
Total income, however, increased to Rs 1,866.57 crore during the quarter under review against Rs 1,147.53 crore in the same quarter last year.
On the update of change in auditor, Vakrangee in a release said, “The management would like to assure that the companys financial statements present the true and fair view of the state of the affairs of the company. The company is fully compliant with the Ind-AS accounting standards.”
It further stated: “PWC had satisfactorily done the limited review for the period till December 31, 2017. The audit committee has also reviewed the financial statements and has been fully satisfied with all the information and explanations provided by the company.”
Vakrangee cancelled Rs 1,250 crore buyback and dividend proposed a few months ago. The company said it will instead spend money on buying ATMs for over 45,000 kendras for Rs 2 lakh each.
“Based on the current capex plan for the ATM business and increased spend in marketing expenses, the company plans to change the capital allocation policy. The policy to be finalised is based on the outcome of 5,000 operational Next-gen outlets,” it said.