APAR Industries (APARINDS) Q4 97/98 earnings summary

Executive summary

• FY1997-98 results included the industrial businesses transferred from Apar Limited, effective from 1 April 1997; year-on-year comparisons are therefore not comparable.

• Gross income was Rs. 5,164.20 million, profit before tax Rs. 174.89 million and profit after tax Rs. 155.39 million.

Financial highlights

• Sales of goods and services were Rs. 5,119.29 million versus Rs. 890.01 million in FY1996-97; the periods have different business scope after the amalgamation.

• Gross profit before interest, depreciation and tax was Rs. 440.25 million; interest was Rs. 205.74 million, depreciation and amortisation Rs. 59.62 million, and tax Rs. 19.50 million.

• PAT of Rs. 155.39 million included net prior-period income of Rs. 1.68 million; proposed dividends were Rs. 22.84 million on Series I preference shares and Rs. 26.01 million on equity shares.

Outlook and guidance

• FY1998-99 profit was expected to be marginally lower than FY1997-98, with reasonable year-end results; FY1999-2000 operations were expected to improve.

• Ankleshwar synthetic rubber plant modifications using Goodyear Tire & Rubber Co. technical assistance were expected to raise capacity from 7,200 MT to 10,000 MT annually and become operational in 2000.