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Bayer Recast Paying Off

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BSCAL
Last Updated : Mar 20 1997 | 12:00 AM IST

Though the previous year's results were for nine months, sales, on an annualised basis, showed a growth of 14.81 per cent to Rs 456.95 crore. The main reason for higher sales was increased growth in the company's agrochemicals, rubber and health-care segments.

The health-care business also grew considerably, mainly due to the introduction of new products and formulations. Besides, the consumer care business witnessed decent growth in volumes for its products, Baygon oilspray and the aerosol insecticide Baygon Power. Surprisingly, another major contributor to the turnover this year has been the animal health product, Solfac, which was introduced last year.

The operating margins improved marginally to 10.39 per cent. This was primarily due to increased efficiency in the agrochemical segment and cost savings on account of improved facilities for rubber chemicals.

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The company's profit-before-tax (PBT) was higher this year because of a slide in the extraordinary items of expenditure, which was considerably high last year.

The extraordinary item last year was at Rs 5.08 crore. However, this year it was 0.19 crore only on VRS compensation. Thus, the PBT showed an increase of 210 per cent on an annualised basis.

However, the company's tax outgo increased drastically by 637 per cent to Rs 5.60 crore. Its net profit stood at Rs 9.16 crore, resulting in an EPS of Rs 56.47. For the current year, the company is optimistic and expects to post higher sales growth.

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First Published: Mar 20 1997 | 12:00 AM IST

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