The Bombay Burmah Trading Corporation (501425) Q4 97/98 earnings summary

Executive summary

• FY 1997-98 profit after tax rose to Rs. 808.86 lakhs from Rs. 739.02 lakhs; improved tea and coffee realisations supported higher gross profit before depreciation and prior-year excise duty.

• Recommended dividend of 26% (Rs. 2.60 per share); commercial production began at Central India Board Products and Afcoset Scales.

Financial highlights

• Gross income was Rs. 13,833.52 lakhs versus Rs. 11,068.64 lakhs; sales were Rs. 13,083.41 lakhs versus Rs. 9,967.34 lakhs.

• Gross profit before depreciation and excise duty for earlier years increased to Rs. 1,898.62 lakhs from Rs. 1,252.55 lakhs; Rs. 362.65 lakhs of prior-period excise duty was charged.

• Profit before tax was Rs. 1,070.86 lakhs versus Rs. 956.92 lakhs; profit after tax was Rs. 808.86 lakhs versus Rs. 739.02 lakhs.

• Interest expense increased to Rs. 958.19 lakhs from Rs. 777.02 lakhs; depreciation was Rs. 465.11 lakhs versus Rs. 295.63 lakhs.

Outlook and guidance

• BCL Springs was expected to improve performance in FY 1998-99; Afcoset Balances outlook was favourable.

• Central India Board Products was expanding pre-laminated board capacity; its commercial production began during the year.