Ganesha Ecosphere (514167) Q4 99/00 earnings summary

Executive summary

• FY ended 30 Sep 2000 turnover was Rs 4,501.78 lakh; the net loss widened to Rs 320.82 lakh from Rs 242.20 lakh YoY.

• Ongoing textile-sector recession, weak margins and higher power and fuel costs pressured results; a financial and business restructuring plan was underway.

Financial highlights

• Sales were Rs 4,709.44 lakh versus Rs 3,809.27 lakh in FY99; total income was Rs 4,501.78 lakh.

• Profit before interest and depreciation was Rs 292.06 lakh versus Rs 408.70 lakh; interest and finance expenses were Rs 463.41 lakh versus Rs 504.65 lakh.

• Loss before tax and after tax was Rs 320.82 lakh, compared with Rs 242.20 lakh in FY99; no income-tax provision was recorded.

• No dividend was recommended due to continued losses; loss carried forward was Rs 23.01 lakh, versus surplus carried forward of Rs 343.83 lakh in FY99.

Outlook and guidance

• A detailed financial and business restructuring plan aimed to improve competitiveness and mitigate operating pressures.

• Restructuring plans targeted lower interest and finance costs through debt restructuring, institutional settlements under OTS and fresh capital; IFCI accepted the OTS proposal, with other institutional negotiations at an advanced stage.