Alok Industries (ALOKINDS) Q4 99/00 earnings summary

Executive summary

• FY 1999-2000 delivered record performance: revenue rose 27.45% to Rs. 356.61 crore and profit after tax increased 42.84% to Rs. 21.38 crore.

• Higher plant efficiency and product value addition supported results; modernization, expansion and entry into garments and IT broadened the growth agenda.

Financial highlights

• Revenue reached Rs. 356.61 crore versus Rs. 279.80 crore, up 27.45%; exports grew 53.61% to Rs. 9.37 crore.

• Operating profit rose 36.15% to Rs. 60.86 crore; operating margin improved to 17.07% from 15.98%.

• PBT before exceptional items was Rs. 22.88 crore versus Rs. 16.21 crore; PAT was Rs. 21.38 crore versus Rs. 14.96 crore.

• Operating cash flow was Rs. 13.39 crore; cash profit was Rs. 30.92 crore and net cash accruals Rs. 25.62 crore.

Outlook and guidance

• Export turnover target: Rs. 20 crore for FY 2000-01, following Rs. 3.90 crore exports in the June 2000 quarter.

• Weaving expansion was expected to be completed by April 2001 and processing expansion by January 2002.

• Management expected stronger growth from modernization, expanded capacity, improved product range and global market opportunities, while anticipating intensifying competition.