APAR Industries (APARINDS) Q4 00/01 earnings summary

Executive summary

• Revenue rose to Rs 5,173.02m from Rs 4,142.94m, but the year ended with a net loss of Rs 35.245m versus net profit of Rs 82.862m.

• Operations improved in H2, with reported profit of Rs 97.42m following an H1 loss of Rs 47.92m; positive operating cash flow was Rs 123.764m.

Financial highlights

• Revenue from goods, services and recoveries was Rs 5,124.33m, up from Rs 4,087.54m; other income was Rs 48.69m versus Rs 55.41m.

• Operating expenses increased to Rs 4,891.05m from Rs 3,800.58m; interest expense rose to Rs 197.48m from Rs 140.20m.

• Loss before tax was Rs 35.145m, compared with profit before tax of Rs 93.862m; net loss was Rs 35.245m versus net profit of Rs 82.862m.

• Pre-interest, depreciation/amortisation, tax and extraordinary-item profit was Rs 281.97m versus Rs 342.36m.

Outlook and guidance

• Directors expected gradual operating improvement to continue in FY 2001-02, citing improving H2 operations and positive results in the current financial year.

• Polymer turnover and profitability were expected to improve with full use of co-generation and continuous-processing facilities; exports to the US and Canada had picked up.

• Special oils profitability was expected to improve with higher activity at Thane Belapur and Silvassa and stronger demand from electrification and exports to 15+ countries.

• Conductor profitability was expected to benefit from priced export and deemed-export orders, job work, and demand from major overseas power projects.