Balkrishna Industries (502355) Q4 99/00 earnings summary

Executive summary

• FY ended 31 Mar 2000 revenue and other income rose to Rs.135.21 crore from Rs.111.66 crore, while PAT was nearly flat at Rs.7.24 crore vs Rs.7.26 crore.

• Paper, tyre and textile-processing operations expanded, while a paper-plant lockout constrained production until 18 May 2000.

Financial highlights

• Gross profit was Rs.14.78 crore vs Rs.14.88 crore; PBT Rs.8.31 crore vs Rs.8.78 crore; PAT Rs.7.24 crore vs Rs.7.26 crore.

• Sales and related income reached Rs.133.26 crore vs Rs.109.77 crore; other income was Rs.1.95 crore vs Rs.1.90 crore.

• Interim dividend of 30% was treated as final; dividend and tax absorbed Rs.2.06 crore.

Outlook and guidance

• Paper expansion Scheme V, with Rs.20 crore estimated capex, is expected in phases by end-2001; capacity to rise from 30,000 to 48,000 tonnes/year.

• Tyre capacity expansion of Rs.25 crore is expected by Mar 2001, taking installed capacity from 10,400 to 15,600 tonnes/year.

• Rs.10 crore of specialised textile-processing machinery is planned over the next 12 months to broaden products and improve realisations.

• Tyre exports were Rs.30.89 crore vs Rs.31.01 crore; established international products and expected improvement in export performance were cited.