• Operational income excluding other operating income was up by 21% to Rs 118.55 crore. Upside in operational income is attributed to higher revenue of compression systems. Segment revenue of compression systems was higher by 33% to Rs 107.57 crore or 91% of sales. However the segment revenue of transmission products was down by 35% to Rs 10.98 crore.

• The EBIT was up by 93% to Rs 19.92 crore even as the segment loss of transmission products widen. The segment revenue of compression systems was up by 98% jump to Rs 21.62 crore aided by higher sales and expansion in segment margin. The segment loss of transmission products stood higher at Rs 1.70 crore compared to a loss of Rs 0.62 crore in the corresponding previous period.

• Sharp fall in all cost heads has facilitated the 750 bps expansion in operating profit margin. While the material cost as % to sales net of stocks was down by 270 bps , that of staff and other expense was down by 300 bps and 210 bps respectively to 18% and 19.9%.

• Other income was down by 1% to Rs 3.10 crore thus restricting the growth at PBIDT to 129% to Rs 17.92 crore. The interest cost was nil for the quarter and corresponding previous period. But the depreciation was lower by 3% to Rs 3.96 crore and thus the growth at PBT was up 274% to Rs 13.96 crore.

• The taxation jump up 567% to Rs 4.47 crore and the effective tax rate for the quarter was 32% compared to 18% in the corresponding previous period. Thus hurt by higher tax incidence the growth at net profit moderated and stood at 210% to Rs 9.49 crore.

Yearly performance

Standalone sales for the period was higher by 16% to Rs 514.75 crore and with 380 bps expansion in OPM the operating profit was higher by 79% to Rs 55.52 crore. After accounting for lower other income, higher depreciation and higher taxation, the net profit was up by 61% to Rs 36.38 crore.

The stock hovers around Rs 885.25.