Trent (TRENT) Q4 05/06 earnings summary

Executive summary

• FY 2005-06 total income rose 45% YoY to Rs357.59cr; standalone PAT increased 28% to Rs24.38cr. Consolidated turnover was Rs419.11cr and net profit Rs28.80cr.

• Retailing expanded through new Westside stores and the Landmark acquisition; management planned further store and hypermarket openings in FY 2006-07.

Financial highlights

• Standalone total income was Rs357.59cr vs Rs246.10cr; PBT before exceptional items was Rs35.04cr vs Rs24.56cr, with Rs0.75cr exceptional contingency provision.

• Standalone PAT was Rs24.38cr vs Rs19.25cr in the financial results summary; consolidated turnover was Rs419.11cr and net profit after tax Rs28.80cr.

• Operating income was Rs346.44cr, including sales of Rs338.93cr; other income was Rs11.15cr.

Outlook and guidance

• FY 2006-07 plan: add six Westside stores and one STAR INDIA BAZAAR hypermarket, taking retail area to 900,000 sq ft.

• Additional signed properties were expected to become operational in FY 2007-08, taking total area to 1.25m sq ft.

• Landmark expected to end FY 2006-07 with 10 stores, following the Andheri store opening in May 2006.