• Upside in revenue is largely on account of higher sales registered by all business segments of the company. Engineering was up by 16% to Rs 98.29 crore (or 49% of sales), sales of Chemicals was up by 17% to Rs 78.62 crore and the sales of consumer products was up by 42% to Rs 24.22 crore.
• Impressive 27% growth in EBIT is largely due to strong growth in segment profit of Engineering and Chemicals. Segment profit of Engineering stood higher by 45% (to Rs 3.89 crore or 29% of EBIT) spurred by higher sales as well as 80 bps expansion in segment margin to 4.0%. Segment profit of Chemicals was up by 11% (to Rs 10.44 crore) as it could not translate its high teen growth in sales to profit hurt by 80 bps contraction in segment margin to 13.3%. Despite higher sales the consumer products registered segment loss of Rs 0.86 crore compared to a loss of Rs 1.51 crore in the corresponding previous period.
• Operating profit margin expanded by 120 bps to 6.3% and this is largely on account of lower material cost and other expenses. The material cost (including cost of traded goods) as % to sales net of stocks was lower by 120 bps (to 64.9%). The other expenses were lower by 20 bps to 15.9%. However the staff cost was up by 10 bps to 13%. Higher sales and higher OPM has facilitated 45% growth in operating profit to Rs 11.98 crore.
• Other income was up by 8% to Rs 3.56 crore and the PBIDT was up by 35% to Rs 15.54 crore. The interest cost was up by 11% to Rs 2.65 crore and the depreciation was up by 9% to Rs 2.57 crore. But the interest cost and depreciation as proportion to OP stood lower compared to corresponding previous period. Thus the PBT was up by 51% to Rs 10.32 crore.
• Taxation was higher by 49% to Rs 3.59 crore but the tax rate was lower at 34.8% compared to 35.3% in corresponding previous period. Thus the PAT was up by 53% to Rs 6.73 crore.

Yearly performance

Standalone sales for the period were higher by 9% to Rs 800.06 crore. As OPM expand by 60 bps the growth at operating profit was 18% (to Rs 59.74 crore). The PBT before EO was up by 35% to Rs 51.36 crore after accounting for higher other income, lower interest and higher depreciation cost. EO (net) for the period as well as corresponding previous period was nil. But with taxation stand higher by 42% (to Rs 16.87 crore); the net profit was eventually higher by 32% to Rs 34.49 crore.

Consolidated sales was higher by 9% to Rs 869.45 crore and the operating profit was up by 19% to Rs 55.65 crore gained by higher sales and 60 bps expansion in OPM. Eventually the net profit (after minority interest) was up by 57% to Rs 15.31 crore.

The stock hovers around Rs 332.