Month: June 2008

Breaking News:
Updating from the corridors of Petroleum Ministry, following is the price hike and excise hike in petroleum products

Rs 3 /L hike in diesel price.
Rs 5 /L hike in petrol price.
Govt hikes LPG prices by Rs 50 per cylinder.
Customs duty on crude cut to nil.
Govt cuts excise duty on diesel, petrol by Rs 1 /L.
Customs other petro products cut to 5% vs 10%.
Govt cuts customs duty on petrol, HSD to 2.5% from 7.5%.
Excise duty cut to cost 66.60 bln rupees.
Duty cut on oil pdts to cost govt 226 bln rupees

The net sales of ITTL declined by 17.7% to Rs 46.66 crore in Q4FY08 as against Rs 56.72 crore during Q4FY07. The net profit declined by 6.1% to Rs 9.66 crore in Q4FY08 as against Rs 10.29 crore during Q4FY07. Realization dropped by ~11.06% and raw material prices hiked because of which the company witnessed drop in PAT margin by ~280 bps on QoQ basis to 20.7%.

The company was busy in training and shifting people for commissioning the new plant because of which the company top line and bottom line declined by 17.7% and 6.1%.

On yearly basis, net sales of ITTL rose by 22% to Rs 189.5 crore in FY08 as against Rs 155.37 crore during FY07. The net profit rose by 48.9% to Rs 39.02 crore in FY08 as against Rs 26.21 crore during FY07.

The company’s order book position stands at ~Rs 154 crore with execution period of ~ 6 months. Out of which ~Rs 133 crore stands for power transformers, ~Rs 19.8 crore for distribution transformers and balance for dry type transformers.

Topline for the full year FY08 up by mere 20% compared to FY07. For 4QFY08 topline improved by 33% to 4741 mn compared to 3573 mn in 4QFY07. Increase in revenue can be attributed to better (average) realization from Rs. 2700 in FY07 to Rs. 3200 in FY08. The total area sold during FY08 increased by 37.4% compared to FY07.

Higher interest cost lead to a decline in net profit margins from 17% in 3QFY08 to 15% in 4QFY08. However on the back of better realization and increased volume, net margins for the full year increased by 200 bps from 14% in FY07 to 16% in FY08.

Sobha Developers Land bank stands at 4024 acres (230 mn sq. ft developable area) as on 31st March 08. Outstanding amount to be paid over next 2 years for the land acquired is Rs. 660 cr. Land bank is distributed as follows – Bangalore 1600 acres, Pune 170 acres, Hosur 700 acres, Cochin 500 acres, Chennai 500 acres, Gurgaon 228 acres and others 326 acres.

Average realization in 2007-08 was Rs 3,200 per sq. ft compared to Rs 2,700 sq. ft in 2006-07.