Highlights of the call are:

• The company has reported 44% jump in the Net Profit at Rs 44.20 crore over robust 49% jump in the Net sales at Rs 528.34 crore for the quarter ended March 11. However, operating margins are still under pressure on the back of spike in the expenditure, particularly employee cost. Employee cost has increased on the back of wage revision in the quarter under review. The other income has improved by 70% to Rs 18.56 crore on the back of sale of shares of JSW. The company has sold 1,97,348 shares out of 5.9 lakh shares it holds in the company.
• The order book at end of FY11 stood at Rs 4603 crore. Orders received in FY11 stood at Rs 3082 crore, of which Rs 1353 crore were only executed in same year. Advances on order book at end of FY11 stood at Rs 473 crore against Rs 305 crore in the corresponding previous year. The execution cycle is 10-12 months. (Nearly 75% of the order book is project orders and the 25% would be unitary orders). The management has also noted that the 60% of the order book is built up for the new capacity additions while the rest is for the replacement.
• The company has also achieved orders from National Textile Corporation worth Rs 148 crore in the quarter ended March 11.
• Machine tools segment has performed well with 60% jump in the revenues at Rs 87.02 crore and segment profit of Rs 8.46 crore, up by 17% for the quarter under review. Thanks to the uptick in auto ancillary segment.
• For the year as a whole, revenues improved by 56% to Rs 1773.31 crore and Net Profit was up by 59% to Rs 165.98 crore. The company has export revenues of Rs 251 crore in FY11 against Rs 74 crore in the corresponding previous year. The revenues from China were to the tune of Rs 91 crore for FY11. Exports grew in Asean countries, Indonesia, Thailand, Vietnam, Turkey etc. The management expects exports to perform well in FY12 also.
• On consolidated front, Revenues grew by 59% to Rs 1793.69 crore and bottom line grew by 54% to Rs 153.42 crore. Operating margins stood at 15.3% in FY11 against 16.8% a year ago. Chinese subsidiary has reported loss of Rs 12 crore for FY12. The management expects it to turnaround in FY12.
• With the buyback offer, reserves and surplus of the company has depleted in FY11. Thus the book value of the company has reduced to Rs 734 per share in FY11 against Rs 748 per share in the corresponding previous year.
• With the increase in the cost push from spike in the raw material cost, the company has increased realizations by 3-7.5% w.e.f 1 April 11. The company has not undertaken any price increase since April 09.
• The company intends to buy total stake in its (50:50) JV with Reiter, in FY12.
• Going ahead, the management expects to clock 20-25% growth in both the top line and bottom line for FY12. The operating margins are also expected to be around 17-18% levels in FY12.
• The company has 2 land banks in Coimbatore (a) 5 acres (b) 15 acres. Partial amount of land of 5 acres is under industrial area and the company plans it to build housing complex by funding the project. The second land of 15 acres is under industrial area. However, the company has applied for Government to change it to housing area and it plans for another residential complex in this area also. Besides these two projects, the company has no other real estate exposure.
• The current capacity of the company in the Textile machinery business is 3.5 million spindles. The company plans to modernize and automate its old machines and has planned Capex of Rs 100 crore in FY12.