• Sales were higher by 13% to Rs 87.80 crore. However the value of production (operating income net of stocks) for the quarter was up by 16% to Rs 88.12 crore. As sales stand lower than value of production reflect inventory buildup during the quarter which will get liquidated in coming quarters.

• With 110 bps contraction in operating profit margin, the growth at operating profit was restricted to mere 1% to Rs 8.52 crore despite 13% jump in sales for the quarter. Contraction in operating profit margin was largely due to higher material and staff cost. Material cost as proportion to sales net of stocks was higher by 220 bps to 79.9%. And that of staff cost was up by 20 bps to 4.4%. However the OE was down by 90 bps to 6.0% restricting the fall in OPM to 110 bps.

• Other income was up by 7% to Rs 0.50 crore. However the interest cost was lower by 4% to Rs 5.50 crore and the depreciation cost was down by 9% to Rs 1.35 crore. Thus the growth at PBT (before EO) was up by 27% to Rs 2.17 crore.

• Taxation in absolute term was up by 44% to Rs 0.88 crore and the effective tax rate for the quarter was also stood higher at 41.5% compared to 35.2% in the corresponding previous period. Thus the PAT stood higher by 15% to Rs 1.27 crore.

Nine month performance

Sales were higher by 19% to Rs 255.45 crore. But with operating profit margin stay lower at 9.6 %( down from 10.7%), the operating profit was lower by 7% to Rs 24.53 crore. After accounting for higher other income, higher interest and lower depreciation the PBT before EO was up by 32% to Rs 5.63 crore. The taxation was up by 50% to Rs 2.19 crore and thus the growth at PAT eventually stood moderated at 25% to Rs 3.57 crore.