Diamond Power Infrastructure (522163) Q4 99/00 earnings summary

Executive summary

• FY99/00 marked the start of commercial production at the Vadadala backward-integration and expansion unit, including aluminium and alloy wire rods; the Silvassa plant also began production.

• Revenue and operating profit before interest and depreciation rose, while audited net profit and EPS declined YoY; expansion drove higher borrowing and asset investment.

Financial highlights

• Total income was Rs 10,956.55 lacs vs Rs 5,386.34 lacs in FY98/99; sales including exports were Rs 9,646.47 lacs vs Rs 4,718.14 lacs.

• Profit before interest and depreciation was Rs 1,045.15 lacs vs Rs 661.90 lacs; PBT was Rs 243.09 lacs vs Rs 333.32 lacs.

• Net profit was Rs 225.58 lacs vs Rs 308.84 lacs; EPS fell to Rs 1.67 from Rs 3.42.

Outlook and guidance

• Estimated sales for FY00/01, FY01/02 and FY02/03: Rs 144.37 cr, Rs 166.60 cr and Rs 182.63 cr; estimated net profit: Rs 7.11 cr, Rs 8.90 cr and Rs 11.39 cr.

• Expansion capacity was expected to be practically utilized from FY00/01; projected debt/equity ratios were 1.71, 1.30 and 1.14 across the three forecast years.