Alicon Castalloy (531147) Q4 01/02 earnings summary

Executive summary

• FY ended 31 Mar 2002 turnover was Rs 1,755.05 lakh; higher depreciation and costs were offset by cost control and improved resource use, though PAT declined YoY.

• Manufacturing focus expanded across four-stroke motorcycle cylinder heads and shocker tubes, with planned entry into intake manifolds for Maruti Alto and Wagon R.

Financial highlights

• Sales and other income Rs 1,755.05 lakh vs Rs 1,763.20 lakh; PBT Rs 113.95 lakh vs Rs 115.86 lakh; PAT Rs 83.61 lakh vs Rs 96.86 lakh.

• Operating profit before financial expenses, depreciation and preliminary expenses was Rs 373.60 lakh vs Rs 339.35 lakh; financial expenses rose to Rs 126.78 lakh from Rs 119.88 lakh.

• Depreciation increased to Rs 130.96 lakh from Rs 101.70 lakh; current tax was Rs 26.00 lakh and deferred tax Rs 4.34 lakh.

• Recommended final dividend of 10%; proposed dividend Rs 30 lakh, with Rs 5.36 lakh carried forward to the balance sheet.

Outlook and guidance

• Significant orders received from Honda Motor Co., TVS, Piaggio, Lombardini and others; planned expansion targets the growing motorcycle components market.

• A Rs 10 crore intake-manifold project for Maruti Udyog’s Alto and Wagon R was being prepared, with technical know-how arrangement involving Hekekai Kouki of Japan.

• Enkei Corporation, Japan, indicated interest in subscribing to 19 lakh equity shares of Rs 10 each at a premium to be determined by members; proceeds intended for the intake-manifold project and long-term working capital.