Radico Khaitan (RADICO) Q4 03/04 earnings summary

Executive summary

• FY03/04 gross sales including tie-up units rose 18% YoY to Rs.7,269.28 million; PAT increased 38% to Rs.256.84 million.

• Sales volume reached 6.35 million cases, up 34% YoY, led by branded liquor and wider distribution.

Financial highlights

• Reported sales were Rs.5,708.32 million versus Rs.5,361.16 million; gross sales including tie-up units were Rs.7,269.28 million versus Rs.6,185.40 million.

• PBT increased to Rs.319.34 million from Rs.234.39 million; PAT rose to Rs.256.84 million from Rs.185.79 million.

• PBIDT was Rs.415.51 million versus Rs.383.30 million; EPS rose to Rs.13.31 from Rs.10.85.

• Proposed dividend increased to 20% from 18%; Rs.127.83 million was transferred to general reserve.

Outlook and guidance

• A new bottling unit in Uttaranchal, with land acquired, was expected to become operational in FY04/05; Tamil Nadu launches were planned for May 2004.

• Plans included expanding white-spirit offerings and pursuing further international distribution tie-ups.

• Growth focus included owned bottling, economy and country-liquor brands, and premium and semi-premium offerings.