Max Financial Services (MFSL) Q4 93/94 earnings summary

Executive summary

• FY94 gross revenue Rs 6,828.11 lakh, excluding Electronics business volume and joint ventures; net profit Rs 775.53 lakh after depreciation of Rs 479.23 lakh.

• Operations improved across business groups; the year was described as a consolidation phase ahead of targeted growth.

Financial highlights

• Gross profit Rs 1,254.76 lakh; proposed dividend 35% on 7,637,200 equity shares, for a payout of Rs 267.30 lakh, subject to shareholder approval.

• P&L sales and other operating income Rs 6,784.75 lakh; total income Rs 6,828.11 lakh and total expenditure Rs 6,052.58 lakh.

• Total assets and funds Rs 6,882.53 lakh; fixed assets net block plus work-in-progress Rs 5,062.03 lakh at March 31, 1994.

Outlook and guidance

• Management expected the pharmaceutical formulations business to begin generating a surplus in FY95; new bulk-drug production at Nanjangud was expected in H2 1995.

• Radio paging and VSAT services were expected to launch by end-1994; the Design Centre was planned for implementation within 18 months.

• Directors expected BOPP Films’ improved results to continue; two additional speciality film products were expected during FY95.