• The value of production for the quarter was down by 5% to Rs 35.11 crore even while the sales (excluding other operating income) was up by 6% to Rs 42.98 crore. Value of production is 18.3% lower than sales for the quarter compared to just 7.9% lower in corresponding previous period. This reflects liquidation of inventory built up in earlier quarters. Other operating income was down by 8% to Rs 1.13 crore and thus the sales were up by 6% to Rs 44.08 crore.

• Operating profit margin contracted by 280 bps to 6.6% and that is due to higher staff and other expenditure. Material cost as proportion to sales net of stocks was down by 380 bps to 66.3%. But that of staff cost and OE was higher by 360 bps (to 7.0%) and 240 bps (to 18.7%). Thus the gain in material cost could not completely offset the rise in both staff and OE thus dragging the OPM down by 280 bps.

• Other income was down by 47% to Rs 0.12 crore. The interest cost down by 62% to Rs 0.06 crore. The depreciation was higher by 35% to Rs 1.17 crore. Thus the PBT was down by 43% to Rs 1.78 crore.

• Taxation was down by 45% to Rs 0.57 crore with tax rate being lower at 31.9% compared to 33.2% in corresponding previous quarter. Thus the PAT was lower by 42% to Rs 1.22 crore.

Yearly performance

Standalone sales were higher by 15% to Rs 116.93 crore. But with operating margin expand by 160 bps the operating profit stood higher at Rs 10.54 crore, a rise of 40%. After accounting for lower other income, lower interest and higher depreciation the PBT was higher by 50% to Rs 7.74 crore. Taxation in absolute term was higher by 47% to Rs 2.50 crore but the tax rate was lower at 32.3% compared to 32.9% in the corresponding previous period. The PAT thus was higher by 52% to Rs 5.24 crore.

Other developments

To pay dividend of Rs 0.25 per equity share of Rs 1 face value each for 2014-15.

The stock hovers around Rs 13.25.