IPCL net rises 40% to Rs 405 cr

BS 200 SCORECARD

Indian Petrochemicals Corporation (IPCL) posted a better-than-expected performance during the quarter ended December 2006 on the back of "better productivity and reduction in costs".

The company, a part of the Reliance group, posted a 40 per cent growth in net profit to Rs 405 crore for the quarter ended December 2006 against Rs 289 crore in the corresponding quarter last year. Turnover during the December quarter was up 9.7 per cent to Rs 3,459 crore against Rs 3,153 crore in the same quarter last year. 
 

(Rs crore)	Quarter ended Dec
	2005	2006
Net sales	2143.00	3056.00
Other income	36.00	74.00
Total income	2179.00	3130.00
Expenditure	1719.00	2375.00
Operating profit	460.00	755.00
Net profit	228.00	405.00
EPS (Rs)	9.19	13.40

Conceding that the environment was challenging, company Chairman Mukesh Ambani, in a statement, said the "improvement in performance was achieved primarily through better productivity and reduction in costs".

Analysts were expecting much lower profit numbers, with estimates ranging from Rs 320-375 crore. "Frankly, I am surprised at these numbers," said an analyst with a leading brokerage firm.