Hawkins Cooker (508486) Q4 99/00 earnings summary

Executive summary

• FY 1999-2000 total income rose 9% to Rs 1,245.5 million; PBT was flat at Rs 51.6 million, while PAT fell 9.9% to Rs 36.1 million, mainly due to higher tax.

• Higher marketing and personnel costs offset revenue growth; personnel costs rose largely from customary three-year remuneration increases.

Financial highlights

• Sales increased to Rs 1,239.2 million from Rs 1,136.4 million; income from other sources was Rs 6.3 million.

• Materials costs were Rs 465.9 million versus Rs 432.1 million; expenses excluding materials and depreciation were Rs 714.9 million versus Rs 645.6 million.

• Tax provision rose to Rs 15.5 million from Rs 11.45 million; net profit was Rs 36.1 million versus Rs 40.1 million.

• FOB exports reached Rs 60.1 million, up 30% from Rs 46.0 million.

Outlook and guidance

• R&D plans prioritize quality improvement, cost reduction and new products, supported by the R&D Centre and Test Kitchen.

• Diversification is limited to areas of strong technical competence, existing distribution reach and brand fit; investment is capped to avoid putting the established business at risk.

• Factory efforts to save energy continued during the year.