IDFC, Indian Rayon & Indo Rama Synth results

Corporate scorecard

IDFC profit up 17%

Infrastructure Development Finance Company reported a 17 per cent growth in profit after tax at Rs 304 crore, while its total income rose 14 per cent to Rs 728 crore.

The company declared a dividend of 10 per cent and said its earnings per share rose to Rs 3 at the end of 2004-05 as against Rs 2.60 at the end of March 2004. IDFC's gross approvals increased 12 per cent to Rs 6,414 crore during the year, while disbursements rose 38 per cent to Rs 3,739 crore.

The company's chief executive Rajiv B Lall said the IDFC initial public offer, comprising fresh issue of shares and sale of equity by existing shareholders, was scheduled for June this year. The government, which holds 35 per cent stake in the venture, will continue to be the largest shareholder after the IPO. IDFC is estimated to require Rs 1,000 crore to finance its growth strategy.

Indian Rayon Q4 net up 43.38%

Indian Rayon & Industries has reported a 43.38 per cent rise in net profit at Rs 39.53 crore for the quarter ended March 31, 2005, compared with Rs 27.57 crore in the corresponding quarter last year.

The board of directors has proposed a dividend of 40 per cent, the company informed the BSE. Total income has increased 21.35 per cent to Rs 489.59 crore (Rs 403.42 crore). The company posted 13.37 fall in net profit at Rs 113.72 crore for the year ended March 31, 2005, compared with Rs 131.28 crore for the previous fiscal.

This was attributed to the exceptional items including the voluntary retirement scheme at the rayon division at Rs 9.54 crore and a gain on sale of investments at Rs 1.89 crore against a profit of Rs 19.95 crore in the previous year. Total income increased to Rs 1870.69 crore (Rs 1591.62 crore).

The company also announced a capital expenditure plan of Rs 300 for 2005-2006. The total capex including the financial year 2004-2005, is Rs 480 crore.

Indo Rama Synth net down 59%

Indo Rama Synthetics has registered a growth of 10.6 per cent in its annual sales at Rs 2198.71 crore for the year ended March 31, 2005. However the net profit declined 59.1 per cent to Rs 70.21 crore (Rs 171.71 crore).

O P Lohia, chairman and managing director, IRSL, blames the rising prices of raw materials specially crude oil and the decline in other income for the fall in profit.

"2004 was more of an aberration and we are already witnessing the reversal of the petrochemicals upcycle and the hardening of cotton prices. The decline in net profit is primarily due to lower other income which went down from 102.39 crore to just 29.63 crore and the tremendous rise in raw material costs," he said.

The board of directors has recommended a final dividend of Rs three per share for the fiscal 2004-05. Net profit for the fourth quarter ended March 31, 2005 fell to Rs 16.1 crore as against Rs 52.7 crore in the comparable period of previous fiscal while total income rose to Rs 556.93 crore (Rs 395.1 crore).