• Sales for the quarter ended Sep 2009 was down by 16% to Rs 493.83 crore with its core power business experience 18% fall in segment revenue to Rs 471.05 crore (or 95% of sales). However that of Transport was higher by 179% to Rs 23.22 crore (or 5% of sales).

• Operating margin for the quarter expanded by 120 basis points to 15.7% on year on year basis. Despite fall in sales, gained by margin expansion the segment profit of power business was down by 17% to Rs 66.19 crore. Its segment margin expands to 14.1% from 13.9% in Q2FY09. However the segment profit of transport business recorded a profit of Rs 2.35 crore compared to a loss of Rs 34 lakh in the corresponding previous period.

• As a proportion to sales net of stocks, the material cost was lower by 570 bps to 59.1%, the staff cost was higher by 390 bps to 13.8% and that of other expenses was lower by 60 bps to 11.4%. Thus suffered by lower sales the operating profit was lower by 9% to Rs 77.71 crore.

• The other income was lower by 51% to Rs 3.98 crore. The interest cost was Rs 0.05 crore for the quarter as against Rs 0.02 crore in corresponding previous quarter. And the depreciation was up by 54% to Rs 9.61 crore. Thus accentuated the PBT before EO was lower by 17% to Rs 72.03 crore. EO for the quarter as well as corresponding previous quarter was nil. The taxation was down by 18% to Rs 23.10 crore in absolute terms and that of tax rate was flat at 32%. Thus the net profit was lower by 17% to Rs 48.93 crore.

Standalone sales for the half year ended Sep 2009 was higher by 5% to Rs 998.01 crore. Operating profit was higher by 26% (to Rs 140.89 crore) as operating margin expands to 240 bps to 14.1% and steady growth in sales. Other income was lower by 54% (to Rs 8.20 crore), interest cost was flat at Rs 5 lakh and depreciation was up by 59% to Rs 19.24 crore. As result the PBT before EO was higher by 10% to Rs 129.80 crore. With higher taxation (including deferred tax) of Rs 44.12 crore (up 10%) the net profit stood higher by 11% to Rs 85.68 crore.

Other developments

Alstom Projects led consortium has bagged a Rs 563.4 crore contract for providing signaling system to the Bangalore Metro Rail Corporation (BMRCL). The consortium, led by Alstom Projects India, has signed a contract worth Rs 563.4 crore, of which Alstom's consolidated share stands at around Rs 354.7 crore. Besides, Alstom Projects India, the consortium includes Alstom Transport SA, Thales Security Solutions & Services and Sumitomo Corporation. According to the company the order entails supply of the signalling system to BMRCL for the first two lines of the new Bangalore metro system.

The stock hovers around Rs 515.25.