Value of production for the quarter was up by 54% to Rs 222.85 crore and the income from operation was up by 55% to Rs 221.92 crore. Upside at operational income came from all three business. While the revenue of core cranes was up by 56% (to Rs 150.54 crore) that of MH/Construction equipment and tractor was up by 58% (to Rs 31.41 crore) and 50% (to Rs 39.97 crore) respectively.

On operating level the upside solely came from cranes business whose segment profit more than doubled (up 105%) to Rs 17.34 crore. The core cranes segment benefited by higher sales and expansion in segment margin which expanded by 270 bps to 11.5%. However the segment profit of tractors was down by 36% (to Rs 2.34 crore) and the MH/CE has registered a segment loss of Rs 50 lakh compared to a profit of Rs 2.05 crore in the corresponding previous period. The company being a new entrant in the tractor & construction equipment segment with limited geographical presence is in the process of expanding its market penetration and has to bore the upfront cost which seems hurted the profit of the company during the quarter. While the material cost was down by 40 bps and manufacturing cost being flat, the staff and selling & OE has witnessed sharp rise of 70 bps (to 4.7%) and 200 bps to (6.4%) impacting the operating margin.

Other income was up by 99% to Rs 3.30 crore. The interest cost was up by 142% to Rs 91 lakh and depreciation was up 38% to Rs 2.10 crore. Thus the PBT was up 23% to Rs 16.16 crore. The taxation was down by 8% to Rs 3.19 crore and the tax incidence was lower at 19.7% compared to 26.5% in the corresponding previous period. Thus spurred the PAT was up 34% to Rs 12.97 crore.

Annual performance

Standalone sales was up by 61% to Rs 693.56 crore and the operating profit was up 60% to Rs 57.91 crore as the OPM being nearly flat at 8.3% (down 10 bps). The PBT was up 66% to Rs 54.32 crore and with tax incidence being nearly same at 25.3% (against 25.4% in FY10) the PAT was up 66% to Rs 40.60 crore.

Consolidated sales was up 62% to Rs 694.93 crore and the operating profit was up 58% to Rs 56.26 crore as the OPM contract by 20 bps to 8.1%. The net profit was up by 79% to Rs 39.93 crore.

Other developments

To pay a final dividend of Rs 1 per equity share of Rs 2 face value for FY2010-11. This is inaddition to Rs 1/ share of interim dividend already declared by Board of Director in their meeting on Feb 5, 2011.

The stock hovers around Rs 43.35.