Alicon Castalloy (531147) Q4 03/04 earnings summary

Executive summary

• FY2003-04 sales and other income reached Rs 3,515.09 lakh, up 55% YoY; profit after tax was Rs 220.94 lakh.

• Growth reflected higher automotive-casting activity, commercial production of intake manifolds, and the start of exports.

Financial highlights

• Operating profit before finance expenses and depreciation was Rs 737.04 lakh vs Rs 412.60 lakh; PBT rose to Rs 336.50 lakh from Rs 140.40 lakh.

• PAT increased to Rs 220.94 lakh from Rs 99.54 lakh; EPS was Rs 4.42 vs Rs 1.99.

• Income from operations was Rs 3,492.11 lakh, including Rs 2,297.20 lakh in sales and Rs 1,194.92 lakh in conversion income.

Outlook and guidance

• Directors recommended a 10% dividend, maintaining the prior-year rate amid major capital expenditure planned over the next two years.

• Management targeted completion by March 2005 of the remaining Rs 190 lakh export commitment under the extended EPCG export obligation period.

• A new alloy-wheel plant for two- and four-wheelers was being set up, with technology from Enkei Corporation, Japan.