For Quarter ended September 2011

The net sales has decreased by 3% to Rs 182.93 crore. The figure for quarter ended September 2010 includes the numbers of the Rath brands sales also. Excluding Rath figures, the net sales has grown by 17%.

OPM has increased by 160 basis points to 7% due to fall in ASP cost by 210 basis points to 5.48% and purchase of traded goods by 440 basis points to 21.97% of adjusted net sales. There was rise in raw material cost by 210 basis points to 47.33% along with other expenditure by 230 basis points to 13.66% of adjusted net sales. As a result of rise in margin, the operating profit increased by 26% to Rs 12.83 crore.

Other income declined by 66% to Rs 0.45 crore. Depreciation has increased by 11% to Rs 1.37 crore. The PBT increased by 16% to Rs 11.91 crore.

Total tax outgo increased by 17% to Rs 3.94 crore. The company has reported a net profit of Rs 7.97 crore, a rise of 15% on back of rise in margin.

For half year ended FY12

The net sales was almost stagnant at Rs 347.8 crore. Excluding Rath figures, the net sales has grown by 21%.

OPM has inclined by 130 basis points to 6% due to fall in ASP cost by 270 basis points to 5% and purchase of traded goods by 320 basis points to 23% of adjusted net sales. Due to rise in margin, there was rise in operating profit by 27% to Rs 20.78 crore.

Other income declined by 59% to Rs 1.08 crore. The interest cost was down by 20% to Rs 0.04 crore. Depreciation has increased by 14% to Rs 2.64 crore. The profit before tax inclined by 15% to Rs 19.18 crore.

Total tax outgo has increased by 15% to Rs 6.49 crore. The company has reported a net profit of Rs 12.69 crore, a rise of 15%.

Valuation

The scrip is trading around Rs 387 on BSE.

The promoter holds 48.11% stake in the company.