Performance for 12 months ended Dec 18
For 12 months ended Dec 18, net sales were up by 11% YoY to Rs 2369.07crore. OPM was down by 80 bps to 9.4% resulting in a 2% rise in OP to Rs 223.87 crore. Other income was up by 5% to Rs 14.21 crore. Interest cost is up by 23% to Rs 39.15 crore and depreciation was flat at Rs 85.36 crore. Thus PBT stood at Rs 113.57 crore down by 1% YoY. Tax provision was up by 12% to Rs 57.61 crore. PAT for 12 ended Dec 18 stood at Rs 55.96 crore down by 12%. There was a EO of Rs 21.07 crore pertaining to prior tax adjustments post which PAT for 12 months ended Dec 18 stood at Rs 34.89 crore compared to PAT of Rs 63.62 crore for 12 months ended Dec 17 period.
The company had a 100% tax exemption in Rudrapur unit for 5 years. Based on law consultants the company did a capex of more than Rs 100 crore in the plant within these 5 years. The Income Tax department rejected the tax exemption of the plant to which the company challenged it in court. Supreme Court final judgement came in where company lost the exemption. Thus the company becomes liable to pay a prior period tax of Rs 21 crore.
The company declared a dividend of Rs 3 per equity share of face value of Rs 2 each for CY 2018
The company in relation to its Thane manufacturing facility has received a closure notice on 20th Nov 18 from Mah Pollution Control Board. The company submitted documentary evidence of its compliance under plastic waste management rules. On 3rd Jan 19, central pollution control board certified the company as producer as per the PWM rules and notified all its manufacturing facilities under environmental protection act. In view of the action taken, the company expects withdrawal of the closure of the notice by Mah Pollution control board.
