TTL is now also a multinational conglomerate with operations in Bahrain, Belgium, China, Egypt, Indonesia, India, Korea, Malaysia, Poland, Romania, Singapore, Sharjah, Taiwan, Thailand, Vietnam.

June 2015 quarter consolidated results

For the quarter ended June 2015, it registered a 7% rise in consolidated sales to Rs 607.736 crore. OPM improved from 13.9% to 14.0% which saw OP rise 7% to Rs 85.33 crore.

Other income rose 55% to Rs from Rs 6 lakh to Rs 9 lakh and interest cost fell 8% to Rs 24.97 crore. As depreciation fell 1% to Rs 23.19 crore, PBT went up 29% to Rs 37.26 crore.

Tax grew 8% to Rs 7.77 crore after which PAT went up 36% to Rs 29.50 crore.

Minority interest grew 3% to Rs 1.07 crore after which net profit went up 38% to Rs 28.42 crore.

Consolidated Segmented Performance

During the quarter Polymer Products contributed 71% of the total revenue. Revenue grew 8% to Rs 433.11 crore. PBIT grew 12% to Rs 45.02 crore and accounted for 72% of total

During the quarter Composite Products business accounted for 29% of the total revenue. Revenue grew 4% to Rs 174.62 crore. PBIT went up 9% to Rs 17.12 crore and accounted for 28% of total

The company witnessed slight improvement in PBIT margins of both its business divisions. While PBIT margins of its Polymer Products increased from 10.0%to 10.4% that of Composite Products business improved from 9.4% to 9.8%.

FY 2015 results

In FY 2015, sales grew 13% to Rs 2476.13 crore. OPM fell 40 basis points to 13.7% which saw OP growing 10% to Rs 338.57 crore.

Other income fell 40% to RS 3.58 crore and interest cost grew 5% to Rs 104.30 crore. As depreciation grew 1% to Rs 87.47 crore, PBT went up 17% to Rs 150.38 crore.

Tax grew 26% to Rs 37.23 crore after which PAT went up 14% to Rs 113.15 crore.

Minority interest grew 4% to Rs 3.54 crore after which net profit went up 15% to Rs 109.61 crore.

The company entered into agreement for share of its entire 50% share capital of its JV company Guanzhou Fanshun Elan Pissiasch, China. The financial impact will be reported in the quarter in which it will be completed.

The company entered into agreement for sale of its entire share capital of its WOS Novo tech Spz, Poland. The financial impact will be reported in the quarter in which it will be completed.

The company entered into agreement for purchase of its balance 50% share capital in its JV Nile Egypt. The financial impact will be reported in the quarter in which it will be completed.

Improved outlook

The company will benefit from shift of Chemicals based industry to Asia. Notably the company has presence in 3 continents (Asia, Africa & Europe) over 15 nations with major presence in Asia.

Its domestic industrial packaging capacity utilization stands at ~75% and overseas capacity utilization stands at ~55%. The management is working on overseas asset sweating and improvement of overall RoCE

Infrastructure business (Pipes, Energy Storage Devices, Pre-fab) is expected to witness higher growth as economy recovers.

The company's Auto segment had been subdued due to slowdown in CV segment. However this segment is also expected to grow well along with the revival in CV segment

The company's OPM has been falling continuously over the past few years due to investment in new products and entry in to new regions and overall underutilisation of capacities due to sluggish demand. However as demand scenario improves as industrial activity picks up, capacity utilization will improve auguring well for recovery in OPM over the next few years.

The share price trades at Rs 61.