The US war on Iraq and the SARS virus in the early part of the first quarter (April-June) of the current financial year may affect the topline and bottomline of many old economy companies.
But Bangalore-based Opto Circuits (India) Ltd is likely to benefit from the tragedies all around.
This maker of high-tech medical electronic devices is reported to have done brisk business in its digital thermometer division, which it acquired recently from Hindustan Lever Ltd (HLL).
In anticipation of good quarterly numbers, volumes on the counter have picked up significantly, though the stock price has been ruling steady over the last couple of weeks.
For the year ended March 2003, the company reported a total income of Rs 38.39 crore and an operating profit of Rs 10.21 crore.
After providing for depreciation and tax, net profit was Rs 7.40 crore yielding a fully diluted earning per share of Rs 6.51.
The company has paid 30 per cent dividend consistently for the last three years and has rewarded shareholders with a bonus issue in the ratio of 10:1 last year.
Now analysts with an institutional brokerage house expect the company to report about a turnover of Rs 12 crore in the first quarter of the current year as against a total turnover of Rs 38 crore during the year ended March 2003.
