Patanjali Foods (PATANJALI) Q4 04/05 earnings summary

Executive summary

• FY2004-05 sales, service charges and other income rose 10.81% to Rs 3,938.42 crore; profit after tax increased 27.61% to Rs 43.59 crore.

• Growth reflected higher capacity utilization, improved sales realization, export expansion and lower interest costs, alongside continued investment in production capacity and brands.

Financial highlights

• Operating profit (PBDIT/EBITDA) was Rs 107.25 crore, up 12.97% from Rs 94.94 crore; profit before tax reached Rs 63.42 crore, up 15.29%.

• Profit after tax was Rs 43.59 crore versus Rs 34.16 crore; basic EPS was Rs 20.05 and diluted EPS Rs 12.62, versus Rs 16.23 and Rs 12.70, respectively.

• Export turnover increased 139.57% to Rs 429.93 crore from Rs 179.46 crore; turnover reported in the chairman’s address was Rs 3,922 crore, up 10.95%.

Outlook and guidance

• Haldia composite edible-oil refinery and vanaspati unit was being implemented to serve eastern demand and lower regional supply-chain costs through scale efficiencies.

• Strategy centers on increasing branded volumes, expanding urban and rural distribution, serving modern trade, and extending product and packaging innovation across consumer segments.

• Continued investment in R&D targets new soya foods, improved existing products, process optimization, and quality gains.