Shivalik Bimetal Controls (513097) Q4 96/97 earnings summary

Executive summary

• FY97 sales rose 8.12% to Rs 908.38 lakh despite a weak electrical and switchgear market; profit after tax declined to Rs 56.55 lakh from Rs 61.51 lakh.

• Expansion was completed, with a new precision rolling mill and Unit II starting commercial production after year-end; orders for electronics-related components grew during the current year.

Financial highlights

• Sales were Rs 908.38 lakh versus Rs 840.15 lakh; profit before tax was Rs 99.05 lakh versus Rs 100.01 lakh.

• Profit after tax was Rs 56.55 lakh versus Rs 61.51 lakh; tax provision increased to Rs 42.50 lakh from Rs 38.50 lakh.

• Proposed dividend was Rs 2 per Rs 10 equity share, a 20% rate; dividend and distribution tax totaled Rs 42.24 lakh.

Outlook and guidance

• Current-year trends were expected to support better sales performance; orders for bimetallic components and sub-assemblies for electronics applications showed healthy growth.

• Tests in Austria of material for bimetallic snap-action discs produced encouraging results for meeting international market requirements.