|
Kirloskar Pneumatic Q3'FY'12 net sales grew by 40% YoY to Rs 136.40 crore. The growth driven by 41% growth in revenues from dominant compression systems business to Rs 116.65 crore and 30% growth in Transmission products business to Rs 19.75 crore. However, there was slight dip in operating margins by 30 bps YoY to 12.5% resulted 37% growth in the operating profit to Rs 17.01 crore.
The decline in interest cost and effective tax rate during the quarter facilitated 45% growth in net profit to Rs 11.54 crore.
The sharp growth has come on a low base in December 2010 quarter wherein net sales and net profit had fallen by 25% and 48% respectively.
Quarterly Performance:
Net sales grew by 40% to Rs 136.40 crore for the quarter ended December 2011 as the dominant compression systems business (86% of total sales) grew by 41% to 116.65 crore and as well Transmission products business grew by 30% to Rs 19.75 crore. However, there was marginal decline in OPM by 30 bps YoY to 12.5% on the back of rise in manufacturing expenses by 70 bps despite the fall in consumption cost by 110 bps and staff cost by 70 bps as percentage to sales and net of stock adjustments. As a result operating profit grew by 37% to Rs 17.01 crore. During the quarter, other income grew 46% YoY to Rs 2.95 crore.
At PBIT level, margins from compression systems business fell by 100 bps to 19.9% YoY resulting segment profit to grow by 35% to Rs 23.23 crore. However, the steep rise in margins from Transmission products business by 740 bps to 8.9% resulted 695% growth in segment profit to Rs 1.75 crore.
Moreover, the fall in interest cost by 37% to Rs 0.38 crore and rise in depreciation by 30% to Rs 2.92 crore there was 43% growth in PBT to Rs 16.66 crore. Further, the decline in effective tax rate by 80 bps to 30.7% facilitated the growth in net profit by 45% YoY to Rs 11.54 crore.
Nine months Performance:
Net sales grew by 55% to Rs 472.43 crore for the nine months ended December 2011 on the back of growth across the business. Notably, operating profit margins expanded by 410 bps YoY to 14.6% resulting 116% jump in the operating profit to Rs 69.13 crore. Also, other income grew by 64% to Rs 9.80 crore. With interest cost lower by 37% to Rs 1.07 crore and depreciation higher by 31% to Rs 8.49 crore, PBT grew by robust 133% to Rs 69.37 crore. Further, with the fall in effective tax rate by 250 bps to 29% net profit grew by 141% YoY to Rs 49.28 crore.
Other Information:
With reference to the earlier announcement dated September 21, 2011, Kirloskar Pneumatic has now informed BSE that the Board of Directors of the Company at its meeting held on January 23, 2012, have decided to defer the Private Placement of shares under Qualified Institutions Placement to Qualified Institutional Buyers not exceeding Rs. 200 crore.
The scrip witnessed sharp 13% rise to Rs 499 at BSE, India on 23rd January 2012.
|