Other income fell 7% to Rs 7.6 crore and interest cost fell 22% to Rs 2.87 core. As depreciation grew 12% to Rs 5.1 crore, PBT rose 8% to Rs 54.79 crore.

Tax expense was up 35% to Rs 19.08 crore compared to tax expense of Rs 14.15 crore after which PAT decreased 3% to Rs 35.7 crore.

FY 2019 consolidated results

In FY2019, consolidated sales fell 6% to Rs 953.09 crore. OPM declined 30 basis points to 18.6% which saw OP fell 8% to Rs 177.51 crore.

PBT fell 2% to Rs 178.86 crore. Net profit went up 12% to Rs 140.53 crore.

Other details

Garware Environmental Services Pvt. Ltd (Subsidiary Company) is yet to commence its commercial operation.

During the quarter, the Board of Directors declared an interim dividend at 170% (Rs. 17.00 per share) [which includes Special Dividend of 100% (i.e. Rs. 10.00 per share] on the fully paid-up equity capital consisting of 2,18,82,060 Equity shares of Rs. 10/- (Ten) each of the Company at its meeting held on 14th March 2020. The Board of Directors have not recommended any further dividend and recommended that the Interim dividend declared as above be treated as final dividend for the year ended 31st March 2020 for approval by the Members of the Company at ensuing Annual General Meeting.

During the quarter, the company incorporated a wholly owned subsidiary in Chile named as Garware Technical Fibres Chile SpA (the "WaS") in the Republic of Chile. The company has not yet infused any share capital into the was and the was is yet to commence its operations.

During the quarter, the company incorporated a subsidiary named as Garware Technical Fibres USA INC. ("GTF USA INC") in the State of Washington, United State of America. The company contributed, assigned and transferred, all of its rights, title and interest in and to the business/undertaking along with all its assets and liabilities in its USA Branch on a going concern basis to GTF USA INC. The consideration for the same was discharged by GTF USA INC. by issuance of 100% shares of its common stock to the company. The accounts of GTF USA INC. have been consolidated in the Consolidated Financial Statements of the Group.

Management Comments:

Stating his views on the results, Mr. Vayu Garware, CMD, Garware Technical Fibres Ltd. said, "The topline and profit performance for the fourth quarter was subdued due to the impact of the lockdown on account of the coronauirus. Particularly, dispatches of our international sales were significantly impacted despite having a strong order book. Domestic sales from depots around the country could also not take place as planned. While the current Covid-19 pandemic continues to pose significant challenges in the first quarter of this year, since approximately 60% of our business caters to end users who are in food related industries, we are hopeful of a reasonable recovery in the second half of the year subject to any unforeseen issues."

The stock trades at Rs 1370.