TD Power Systems Limited (533553) Q4 10/11 earnings summary

Executive summary

• FY11 standalone net sales were Rs 4,878,801,689, PBT Rs 626,770,741 and PAT Rs 416,403,488; each exceeded FY10.

• Consolidated net sales reached Rs 8,637,259,850, PBT Rs 855,866,559 and profit after tax Rs 566,554,252.

• Manufactured 341 generators up to 52 MW; year-end order book was Rs 49,604.70 lakh, with management expecting good performance subject to delivery execution and unforeseen factors.

Financial highlights

• Standalone net sales rose from Rs 4,335,887,849 in FY10 to Rs 4,878,801,689 in FY11; PAT increased from Rs 330,229,663 to Rs 416,403,488.

• Standalone gross profit was Rs 706,046,000 versus Rs 577,896,000; depreciation was Rs 78,911,197 versus Rs 55,814,113.

• Consolidated net sales were Rs 8,637,259,850 versus Rs 7,382,207,325; consolidated PBT was Rs 855,866,559 versus Rs 690,838,168.

• Consolidated PAT before minority interest was Rs 566,554,252; minority interest was Rs 32,480,254.

• Standalone other income was Rs 69,431,376, including bank interest of Rs 27,137,668; finance charges were Rs 66,866,467.

Outlook and guidance

• Order book stood at Rs 49,604.70 lakh at March 31, 2011; development and certification work was intended to support wider geographic reach and generator applications.

• Expansion plans include enhancing manufacturing facilities for steam, hydro, wind, gas and diesel generator demand; proposed funding needs include expansion, working capital and debt repayment.

• Management expected good current-year performance, considering market conditions, the order book and delivery capability, subject to unforeseen circumstances.