For the calendar year ended December 2008, the net sales of the company have increased by 22% to Rs 742.66 crore. OPM has decreased by 511 basis points to 12% due to increase in purchase of traded goods, other expenditure and staff cost. The fall in margin has resulted in decline in net profit by 15% to Rs 57.45 crore.

Performance for the quarter ended December 2008

The net sales during the quarter ended December 2008 increased by 13% to Rs 177.07crore. OPM decreased by huge 618 basis points to 10.22% due increase in its purchase cost of traded goods by 1048 basis points to 40% of adjusted net sales. However, there was fall in staff cost by 173 basis points to 12%, raw material cost by 160 basis points to 22% and other expenditure by 96 basis points to 15% of adjusted net sales. As a result, the operating profit of the company suffered and declined by 30% to Rs 18.10 crore.

The other income of the company also decreased by 18% to Rs 2.53 crore affecting the profit before depreciation, interest and tax decreased by 28% to Rs 20.63 crore during the quarter ended December. The interest cost has decreased by 22% to Rs 0.10 crore while the depreciation allowance has increased by 107% to Rs 2.56 crore. The company recorded a decrease in profit before tax of 34% to Rs 17.98 crore.

The tax outgo for the quarter has decreased by 35% to Rs 6.86 crore. The net profit also decreased by 34% to Rs 11.12 crore due to fall in margin.

Performance for calendar year ended December 2008

For the calendar year ended December 2008, the net sales of the company have increased by 22% to Rs 742.66 crore. OPM has decreased by 511 basis points to 12% due to increase in purchase of traded goods by 700 basis points to 38%, other expenditure by 30 basis points to 16% and staff cost by 10 basis points to 13% of adjusted net sales. However, there was fall recorded in raw material cost by 200 basis points to 23% of adjusted net sales. Due to fall in margin, the operating profit of the company decreased by 15% Rs 88.97 crore.

The other income of the company increased by 15% to Rs 9.75 crore. The interest cost has increased by 38% to Rs 0.47 crore while the depreciation allowance for the quarter has increased by 23% to Rs 7.23 crore The company's profit before tax declined by 15% to Rs 91.02 crore.

The tax outgo calendar year 2008 has decreased by 14% to Rs 33.57 crore. The fall in margin has resulted in declined in net profit by 15% to Rs 57.45 crore.

Segment Performance

Industrial Markets

For the quarter ended December 2008, the industrial markets contributed 18% of the total revenue. The revenue from this division increased by 9% to Rs 31.93 crore. The PBIT margin saw a decline of 1270 basis points to 1.2% causing PBIT to fall by 90% to Rs 0.40 crore contributing around 2% of total PBIT.

For the calendar year 2008, the industrial markets contributed 18% of the total revenue. The revenue from this division has increased by 20% to Rs 136.16 crore. The PBIT margin has declined by 840 basis points to 8.6% resulting in fall in PBIT by 39% to Rs 11.68 crore. This business contributed around 14% of total PBIT.

Automotive & Speciality Materials Markets

For the quarter ended December 2008, the automotive & speciality materials markets contributed 33% of the total revenue. The revenue from this business increased by 2% to Rs 57.75 crore. The PBIT margin has declined by 710 basis points to 10.7% resulting in decrease in PBIT by 39% to Rs 6.2 crore contributing around 37% of total PBIT.

For the calendar year 2008, the automotive & speciality materials markets contributed 34% of the total revenue. The revenue from this business increased by 15% to Rs 249.02 crore. The PBIT margin has declined by 320 basis points to 12.8% resulting in decrease in PBIT by 8% to Rs 31.99 crore contributing around 37% of total PBIT.

Health Care Markets

For the quarter ended December 2008, the health care markets contributed 15% of the total revenue. The revenue from this business increased by 28% to Rs 25.97 crore. The PBIT margin has increased by 90 basis points to 6.5%. As a result, the PBIT has increased by 49% to Rs 1.68 crore contributing around 10% of total PBIT.

For the calendar year 2008, the health care markets contributed 16% of the total revenue. The revenue from this business increased by 50% to Rs 121.28 crore. The PBIT margin has declined by 10 basis points to 3.5%. Despite it, the PBIT has inclined by 46% to Rs 4.30 crore contributing 5% of total PBIT.

Traffic & Safety Markets

For the quarter ended December 2008, the traffic & safety markets contributed 21% of the total revenue. The revenue from this business increased by 24% to Rs 37.53 crore. The PBIT margin has declined by 870 basis points to 16.1% resulting in decrease in PBIT by 19% to Rs 6.04 crore contributing around 36% of total PBIT.

For the calendar year 2008, the traffic & safety markets contributed 20% of the total revenue. The revenue from this business increased by 20% to Rs 146.76 crore. The PBIT margin has declined by 590 basis points to 21.7%. As a result, the PBIT has declined by 5% to Rs 31.92 crore contributing around 37% of total PBIT.

Consumer & Office, Construction Markets

For the quarter ended December 2008, the consumer & office, construction markets contributed 12% of the total revenue. The revenue from this business increased by 6% to Rs 21.35 crore. The PBIT margin has declined by 770 basis points to 9.4% resulting in decrease in PBIT by 42% to Rs 2 crore contributing 12% of total PBIT.

For the calendar year 2008, the consumer & office, construction markets contributed 11% of the total revenue. The revenue from this business increased by 16% to Rs 85.21 crore. The PBIT margin has declined by 690 basis points to 5.7%. As a result, the PBIT has fallen by 48% to Rs 4.84 crore contributing 6% of total PBIT.

Valuation

The stock was trading at around Rs 850.90 on 3^rd March 2009 at BSE.