Bayer CropScience (506285) Q4 07/08 earnings summary

Executive summary

• Fifteen-month period ended 31 Mar 2008; sales and operating income reached Rs 12,383.20m, while profit after tax was Rs 491.03m, down from Rs 568.58m for the prior 12-month period. Periods are not comparable.

• Profit before tax was Rs 679.56m; before exceptional items, it was Rs 790.53m.

Financial highlights

• Sales and operating income were Rs 12,383.20m versus Rs 7,746.50m; the current period covers 15 months versus 12 months previously.

• Profit before tax was Rs 679.56m versus Rs 890.53m, and profit after tax was Rs 491.03m versus Rs 568.58m; comparisons span different period lengths.

• Exceptional items comprised Rs 194.02m profit on long-term investment sales and Rs 304.99m voluntary retirement expenditure, net expense Rs 110.97m.

• Export turnover on an FOB basis was Rs 1,423.62m versus Rs 1,233.30m in the previous 12-month period.

Outlook and guidance

• Planned 2008 launches included Sectin 60 WG fungicide for potato and grape and Regent 80 WG insecticide for rice; approvals were also being pursued for existing products on additional crops.

• Product development targeted crop protection, environmental science, fruits and vegetables, and new green, turf and industrial vegetation management segments.

• Environmental Science plans included Aqua K-Othrine for space spraying, plus ant gel, rodenticide and turf weed-control products.