PCBL Chemical (PCBL) Q4 98/99 earnings summary

Executive summary

• FY ended Sep. 30, 1999: sales volume rose 18.6% to 116,952 MT and turnover from operations increased 13%, despite weak demand and pricing pressure.

• PBT increased 66.2% to Rs 476.64 lakh; PAT rose 47.5% to Rs 381.64 lakh.

Financial highlights

• Sales were Rs 34,138.37 lakh vs Rs 30,169.95 lakh YoY; other income was Rs 584.53 lakh vs Rs 566.80 lakh.

• PBT was Rs 476.64 lakh vs Rs 287.08 lakh; tax provision was Rs 95 lakh vs Rs 28.50 lakh; PAT was Rs 381.64 lakh vs Rs 258.58 lakh.

• Interest expense rose to Rs 2,895.05 lakh from Rs 2,624.75 lakh; depreciation after revaluation-reserve transfer was Rs 851.12 lakh vs Rs 723.54 lakh.

• Proposed dividend remained 10% (Rs 1 per share), requiring Rs 177.53 lakh, plus Rs 19.53 lakh dividend tax.

Outlook and guidance

• A double-digit carbon black market growth rate was expected in the current year as the automobile and tyre industries recovered and exports improved.

• Cost savings were expected from the Andersen Consulting program, improved capacity utilization and higher operating efficiency.