Havells India Limited (HAVELLS) Q4 99/00 earnings summary

Executive summary

• FY2000 gross sales rose 27% YoY to Rs. 10,513.30 lakh; net profit increased 35% to Rs. 331.80 lakh.

• Growth was led by cables and switchgear/controlgear; investments in meter capacity, export readiness and group expansion shaped the outlook.

Financial highlights

• Net sales were Rs. 9,170.62 lakh vs. Rs. 7,010.09 lakh in FY1999; gross sales were Rs. 10,513.30 lakh vs. Rs. 8,247.48 lakh.

• PBT increased to Rs. 444.94 lakh from Rs. 313.97 lakh; PAT rose to Rs. 331.80 lakh from Rs. 245.24 lakh.

• Interest expense was Rs. 451.40 lakh vs. Rs. 337.85 lakh; depreciation was Rs. 101.87 lakh vs. Rs. 88.73 lakh.

• Proposed dividend was Rs. 2 per Rs. 10 equity share; Rs. 25 lakh was transferred to general reserve.

Outlook and guidance

• Meter sales were projected to increase by over 35% in the current year as capacity expansion and facility upgrades progressed.

• Cable sales were expected to maintain similar growth; switchgear/controlgear anticipated strong growth as export volumes developed after international product certification.

• Havell's Dorman Smith was projected for over 75% turnover growth; group restructuring plans aimed to consolidate switchgear activities in the flagship business.