Ganesha Ecosphere (514167) Q4 06/07 earnings summary

Executive summary

• FY07 turnover rose 20.55% YoY to Rs 6,268.25 lakh and PAT increased 28.98% to Rs 188.93 lakh, supported by improved Kanpur efficiencies and two months of expanded-unit operations.

• Pantnagar’s 7,200 TPA recycled polyester staple fibre unit began commercial production on 1 February 2007; further Rudrapur capacity expansion was underway.

• Outlook for FY08 was optimistic, with improved results expected barring unforeseen circumstances.

Financial highlights

• Total income was Rs 6,301.14 lakh vs Rs 5,219.59 lakh; net turnover was Rs 6,267.44 lakh vs Rs 5,226.23 lakh.

• Profit before interest and depreciation increased to Rs 700.62 lakh from Rs 577.19 lakh; PBT was Rs 296.89 lakh vs Rs 251.87 lakh.

• PAT was Rs 188.93 lakh vs Rs 146.48 lakh; basic and diluted EPS rose to Rs 2.03 from Rs 1.57.

• Export sales increased to Rs 957.61 lakh from Rs 863.97 lakh; exports grew 10.84% YoY.

• No equity dividend was recommended to conserve resources for corporate needs and expansion; preference dividend arrears were paid during the year.

Outlook and guidance

• FY08 performance outlook was optimistic, with improved results expected barring unforeseen circumstances.

• Expansion of Rudrapur capacity was in progress; the new Pantnagar RPSF unit had commenced production during FY07.