Birla Corporation (500335) Q4 00/01 earnings summary

Executive summary

• FY2000-01 total income rose marginally to Rs 1,044 crore; pre-interest surplus increased 41.77% to Rs 65.67 crore and interest expense fell 17% to Rs 43.71 crore.

• The year ended with a net loss of Rs 12.71 crore, improved from Rs 38.36 crore; cash profit was Rs 21.96 crore versus a cash loss of Rs 6.21 crore.

Financial highlights

• Turnover was Rs 1,021.30 crore versus Rs 1,011.84 crore; total income was Rs 1,043.997 crore versus Rs 1,037.991 crore.

• Pre-depreciation surplus was Rs 21.96 crore; depreciation was Rs 35.07 crore, resulting in a Rs 13.11 crore deficit before tax and a Rs 12.71 crore net loss after tax adjustments.

• Net worth stood at Rs 232.59 crore; borrowings were Rs 307.78 crore and net current assets were Rs 148.91 crore at 31 March 2001.

Outlook and guidance

• Cement realisations had improved late in FY2000-01; prices were expected to hold current levels as infrastructure, Golden Quadrilateral, housing and reconstruction demand strengthened.

• Jute demand was expected to improve with better foodgrain crops and higher government purchases; Birla Jute Mills aimed to cut costs and increase value-added output.

• Negotiations continued to reopen Soorah Jute Mills; Chittor's Rs 12 crore modernisation was expected to raise output and reduce power consumption.