TVS Holdings (520056) Q4 04/05 earnings summary

Executive summary

• FY05 standalone net sales reached ₹53,629.92 lakh, up 29% YoY; PBT was ₹7,633.35 lakh, versus ₹6,635.76 lakh.�

• Expansion of air-brake and die-casting capacity, new export orders and a buoyant commercial-vehicle market supported growth; input-cost pressures and competition remained key risks.�

• Consolidated net sales were ₹3,709.79 crore versus ₹3,450.47 crore; consolidated PBT was ₹264.19 crore and PAT ₹176.37 crore.�

Financial highlights

• Standalone total income was ₹56,882.51 lakh versus ₹44,578 lakh; EBITDA was ₹10,159.18 lakh versus ₹8,213.30 lakh.�

• Standalone PAT was ₹5,326 lakh versus ₹4,687.49 lakh; EPS was ₹28.16 versus ₹24.25. A ₹14.72 lakh prior-year tax credit is separately reflected in the financial highlights.�

• Consolidated PAT was ₹176.37 crore versus ₹183.61 crore; consolidated EPS increased to ₹62.08 from ₹60.36.�

• Standalone exports were ₹6,494.96 lakh versus ₹3,388.43 lakh; foreign-exchange expenditure was ₹9,539.99 lakh.�

Outlook and guidance

• FY06 planned investment: ₹43 crore in brakes for capacity and product development, plus ₹93 crore in die casting; funding expected from internal accruals and rupee and foreign-currency loans.�

• FY06 industry forecasts cited domestic M&HCV growth of 8%, passenger cars 10% and two-wheelers 12%; US Class 8 truck sales 15% and European heavy trucks 8%.�

• Twenty-five authorized service centers were planned for FY06, bringing the cumulative network to 100.�