Westar Energy (WR) has reported a 9.03 percent fall in profit for the quarter ended Mar. 31, 2017. The company has earned $59.66 million, or $0.42 a share in the quarter, compared with $65.58 million, or $0.46 a share for the same period last year.
Revenue during the quarter went up marginally by 0.55 percent to $572.57 million from $569.45 million in the previous year period. Gross margin for the quarter contracted 224 basis points over the previous year period to 69.52 percent. Total expenses were 77.93 percent of quarterly revenues, up from 75.10 percent for the same period last year. That has resulted in a contraction of 284 basis points in operating margin to 22.07 percent.
Operating income for the quarter was $126.35 million, compared with $141.81 million in the previous year period.
Operating cash flow remains almost stable Westar Energy has generated cash of $237.12 million from operating activities during the quarter, down 0.73 percent or $ 1.75 million, when compared with the last year period.
The company has spent $176.12 million cash to meet investing activities during the quarter as against cash outgo of $197.76 million in the last year period.
The company has spent $60.71 million cash to carry out financing activities during the quarter as against cash outgo of $40.88 million in the last year period.
Cash and cash equivalents stood at $3.36 million as on Mar. 31, 2017, down 3.23 percent or $0.11 million from $3.47 million on Mar. 31, 2016.
Working capital remains negative
Working capital of Westar Energy was negative $45.64 million on Mar. 31, 2017 compared with negative $398.35 million on Mar. 31, 2016. Current ratio was at 0.94 as on Mar. 31, 2017, up from 0.63 on Mar. 31, 2016.
Cash conversion cycle (CCC) has decreased to 20 days for the quarter from 81 days for the last year period. Days sales outstanding were almost stable at 39 days for the quarter, when compared with the last year period.
Days inventory outstanding has decreased to 80 days for the quarter compared with 171 days for the previous year period. At the same time, days payable outstanding went down to 99 days for the quarter from 128 for the same period last year.
Debt moves up Westar Energy has witnessed an increase in total debt over the last one year. It stood at $4,023.25 million as on Mar. 31, 2017, up 11.17 percent or $404.13 million from $3,619.12 million on Mar. 31, 2016. Total debt was 34.94 percent of total assets as on Mar. 31, 2017, compared with 33.49 percent on Mar. 31, 2016. Debt to equity ratio was at 1.05 as on Mar. 31, 2017, up from 0.98 as on Mar. 31, 2016. Interest coverage ratio deteriorated to 3.07 for the quarter from 3.51 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
