Balkrishna Industries (502355) Q4 02/03 earnings summary

Executive summary

• FY03 gross turnover and other income rose 41% YoY to ₹316.72 crore; profit after tax increased to ₹20.90 crore from ₹5.89 crore.

• Growth was led by tyres, supported by higher exports and capacity expansion; paper output also increased, while textile processing remained affected by industry weakness.

Financial highlights

• Net turnover and other income was ₹301.59 crore versus ₹206.86 crore; gross profit reached ₹40.72 crore versus ₹20.71 crore.

• PBT was ₹28.23 crore versus ₹9.55 crore; PAT was ₹20.90 crore versus ₹5.89 crore. No extraordinary item was recorded in FY03; FY02 included a ₹0.49 crore insurance-claim short recovery.

• Basic and diluted EPS rose to ₹33.64 from ₹9.24.

Outlook and guidance

• Higher paper and Bhiwadi tyre capacities were expected to improve FY04 performance, barring unforeseen circumstances.

• Bhiwadi expansion from 5,400 to 21,000 tonnes per annum was expected to finish by December 2003.

• Paper-board industry demand was expected to grow at more than 7% annually; coated-board exports began in FY04.