Highlights

• During the quarter under review the Net Income from operations increased by 11.6% to Rs 170.39 crore. Domestic sales were higher by 7.6% to Rs 149.97 crore, while the Export Sales were higher by 54.7% to Rs 20.42 crore.

• Employee cost (as a % of total revenue) increased due to new hiring to execute growing business volume.

• PAT (Excluding net Forex gain of Rs 6 crore in Q1FY’08 and net Forex loss of Rs 2 crore in Q1 FY’09) down 81.8% from Rs 1.98 crore to Rs 0.36 crore due to higher depreciation and interest costs for capacity expansion.

• After giving the effect of Forex impact, there was a Net loss to the tune of Rs 1.64 crore during the quarter ended Jun’08 as compared to PAT (After the Forex impact) to the tune of Rs 7.98 crore during the corresponding previous quarter last year.

• Planned capital expenditure of Rs 120 crore for FY’09 is well on track.

• Under the JV with American Axle & Manufacturing Holdings Inc. (AAM), construction of plant for light axles as per schedule with production volume of 75000 per annum expected to commence in Q2 FY’09

• Singur plant for Tata ‘Nano’ expected to be operational by Q3 FY’09 with a capacity of 2.5 lacs steering & columns and 3.0 lacs drivelines.

• Received new orders worth Rs 16.13 crore per annum during Q4 FY’08 from Ford and Reva – Electric Car for supply of column and gears

• The company targets EBIDTA margin of 11% for the FY’09.

• During the quarter ended Jun’08 Sales to Maruti has declined to 49% (from 57% in Q1 FY’08) while Sales to Hyundai has increased to 15% (from 11% in Q1 FY’08).

• Debt on the books as on 30.06.08 is Rs 160 crore long term and Rs 100 crore working capital.