| The company has an order book of Rs 500 crore, which is about 1.8x revenues of the conductor division during FY05. It has bagged orders from Powergrid Corporation and many state electric boards. |
| It consolidated its capacity at Silvassa by shifting base from Bahutha in Savli, thereby taking the total capacity to 50,000 MTs (after negating capacity of Bahutha that was unproductive). |
| At Silvassa the company has two rolling mills to manufacture aluminium rods, which are further processed into conductors. The company has sales tax exemption for the next 10 years. |
| Apar Industries is a value added manufacturer of specialty oils & lubricants, power transmission conductors and specialty polymers. |
| Any rise in prices of aluminium, base oils and monomers could affect profits going ahead. Aluminium prices have spiralled by 27.3 per cent over the last one year. |
| Micro Tech: Better-than-expected results |
| Brics PCG Research recommends a "buy" on Micro Technologies. The report states the company's results beat expectations. |
| It has reported revenues of Rs 58.7 crore for FY06 (as compared to estimates of Rs 51.5 crore), which is a considerable 119.2 per cent y-o-y growth. The net profit of Rs 17 crore has also beaten estimates of Rs 11.6 crore. Operating profit margins improved by 190 bps in FY06. |
| The report adds that the outsourced manufacturing strategy has paid off. Q4 FY06 was the strongest quarter for the company. The EBITDA margin in the quarter improved to 44.1 per cent from 40.7 per cent in the last quarter, by virtue of the company's new outsourcing model. |
| The company has huge orders for FY07 from domestic as well as international markets. A significant portion of this order book will be executed in current year. |
| Adlabs Films: High on sales |
| Brics PCG Research reports that Adlabs Films, in its FY06 results, reveals 30 per cent rise in net sales, led by a significant growth in the multiplex, film production and distribution businesses. |
| At the same time, raw material cost (film processing) increased by six per cent y-o-y to Rs 23 crore. This has remained virtually flat at 35 per cent of film processing revenue. The multiplex theatre exhibition expenses rose 48 per cent to Rs 29.3 crore. |
| This eats into 71.3 per cent of theatre operation revenue. Staff cost rose 76 per cent, but production & distribution expenses registered a 17.7 per cent drop y-o-y. |
| The board of Adlabs Films has approved the proposal for de-merger of the FM radio business into a wholly-owned subsidiary. |
| It has also approved the merger of the two other subsidiaries, viz. Entertainment One India and Mukta Adlabs Digital Exhibition, with itself. |
| The report believes that the separation of the radio business would give the company the flexibility to raise funds to meet expansion and operational requirements. |
Top Section
Explore Business Standard