• Evenwhile the operating income for the quarter was higher by 25% to Rs 146.52 crore, the value of production for the quarter was up by 41% to Rs 152.16 crore. The value of production was 3.8% higher than sales and this is expected to be get liquidated in the following quarters.
• Contraction in operating margin to the extent of 820 bps on year on year basis was largely on account of all-round rise in material cost, which as % to sales net of stocks was higher by 1070 bps to 70.4%. The other expenses was higher by 100 bps (to 13.7%). Though staff cost was down by 190 bps (to 8.7%) that was not good enough to wipe out the entire rise in material and other expenses thereby pulling down the operating margin.
• Other income was higher by 50% to Rs 15 crore largely on account of hardening interest rate (on shorterm investment of surplus cash) kicking in. The interest cost was just Rs 34 lakh compared to nil in the corresponding previous quarter. The depreciation was up 40% to Rs 1.58 crore. Thus the PBT before EO was lower by 14% to Rs 23.97 crore. EO for the quarter as well as corresponding previous period was nil.
• The taxation in absolute terms was lower by 15% to Rs 7.81 crore and the tax rate was lower at 32.5% compared to 33.2% in the corresponding previous period. Thus the PAT before EO (net of tax) was lower by 13% to Rs 16.16 crore.

Haly yearly performance

Sales were higher by 24% to Rs 275.95 crore. As OPM contracted by 640 bps to 9.3% the operating profit was down by 27% to Rs 25.55 crore. Other income was higher by 46% to 28.37 crore. The interest cost was Rs 35 lakh (against nil in H1FY12) and depreciation was higher by 28% to Rs 2.87 crore. Thus the PBT was down by 3% to Rs 50.70 crore. EO income was nil for the period as well as corresponding previous period. The taxation was down by 5% to Rs 16.48 crore. The PAT before EO (net of tax) was down by modest 1% to Rs 34.22 crore.

The stock was hovering around Rs 478.