Tata Elxsi (TATAELXSI) Q4 03/04 earnings summary

Executive summary

• FY03/04 sales and services rose 40.04% to Rs 153.48 crore; profit after tax increased 50.13% to Rs 17.55 crore.

• Recovery in both segments supported growth; a 40% dividend was recommended, up from 25% in FY02/03.

Financial highlights

• Total income was Rs 155.01 crore vs Rs 111.28 crore; profit before tax was Rs 20.16 crore vs Rs 15.06 crore.

• Net profit was Rs 17.55 crore vs Rs 11.69 crore; sales and services grew 40.04% to Rs 153.48 crore.

• Financial expenses fell to Rs 0.14 crore from Rs 0.91 crore; proposed dividend was Rs 4 per share, with Rs 12.45 crore payout.

Outlook and guidance

• Product Design Services expected to grow significantly; overseas office and marketing expansion and phased facility additions planned for FY04/05.

• Visual Computing Labs expected to grow significantly, supported by technical capability, overseas marketing and equipment investment.

• Systems Integration was positioned for further growth; Design Engineering Services was also targeted for growth in the current year.