Diamond Power Infrastructure (522163) Q4 98/99 earnings summary

Executive summary

• FY ended 30 June 1999: total income was Rs 5,386.34 lacs and net profit Rs 308.84 lacs; expansion and backward integration were implemented, with new capacity at Silvassa.

• Order book stood at Rs 90 crore, including Rs 44 crore in export or deemed-export orders; bids worth Rs 3,200 crore had been submitted.

Financial highlights

• Total income rose to Rs 5,386.34 lacs from Rs 3,466.16 lacs; sales were reported at Rs 4,733.65 lacs versus Rs 3,466.46 lacs, with stated turnover growth of 6.55%.

• Net profit was Rs 308.84 lacs versus Rs 177.82 lacs; the directors’ report separately cited Rs 315.33 lacs and 77% growth.

• Profit before interest and depreciation was Rs 661.90 lacs; interest was Rs 246.41 lacs and depreciation Rs 82.17 lacs.

Outlook and guidance

• Management projections: sales of Rs 120.44 crore in FY2000, Rs 133.05 crore in FY2001 and Rs 145.67 crore in FY2002; projected net profit Rs 9.68 crore, Rs 12.45 crore and Rs 15.22 crore, respectively.

• Forecast debt/equity ratio declines from 0.72 in FY2000 to 0.44 in FY2001 and 0.23 in FY2002; projected gross profit/sales rises from 18.00% to 18.00% and 18.00%.

• Expanded operations were expected to provide substantial financial benefits; the projections were company estimates following project implementation.