Tata Elxsi (TATAELXSI) Q4 01/02 earnings summary

Executive summary

• FY02 revenue fell 4.3% YoY to Rs 131.96 crore; PBT rose 35.2% to Rs 20.22 crore and PAT rose 20.9% to Rs 16.75 crore.

• Challenging global conditions drove lower turnover, while a shift toward software services and lower costs supported profitability.

Financial highlights

• Sales and services declined 5.1% to Rs 129.81 crore; other income rose to Rs 2.15 crore from Rs 1.16 crore.

• PBT Rs 20.22 crore vs Rs 14.96 crore; PAT Rs 16.75 crore vs Rs 13.86 crore; EPS Rs 5.37 vs Rs 4.45.

• Personnel expenses rose 32.2% to Rs 42.75 crore; cost of sales, administration and selling expenses fell 23.4% to Rs 63.63 crore.

• Financial expenses declined to Rs 1.54 crore from Rs 3.07 crore; depreciation fell to Rs 3.05 crore from Rs 4.58 crore.

Outlook and guidance

• Management expected significant growth in Design & Development as overseas business sentiment showed early signs of revival and overseas marketing efforts expanded.

• Growth opportunities identified in rapid and virtual prototyping, e-manufacturing, animation and broadcast, bio-informatics, geomatics, storage, and overseas support.

• The new Technopark centre was expected to build systems-development work in automotive and image processing; further business was anticipated after a pilot project.