Opto Circuits Q1 net dips

Opto Circuits (India) Ltd has reported 63 per cent decline in net profit at Rs 51 crore for the first quarter ended June 30, 2013 compared to Rs 138 crore in the corresponding quarter last year. Its total income for the quarter declined 43.4 per cent to Rs 405 crore as against Rs 716 crore in the year ago period.

The operating profit for the quarter under review has shown a decline of 67.8 per cent to Rs 55 crore as compared to Rs 171 crore in the year ago period. Its interest outgo during the quarter went up 26 per cent to Rs 24 crore during the first quarter. Revenues from the healthcare products segment came down marginally by 1.5 per cent to Rs 396 crore in the first quarter. There was no revenue from the information technology segment during the quarter. Medical equipment and consumables division contributed 86.7 per cent of the total sales, while interventional devices and tools (invasive) division contributed 12.7 per cent of sales. The balance came from non-medical services.

Vinod Ramnani, Chairman and Managing Director, Opto Circuits said, "Our focus on reducing operational cost, working capital cycle and debt in the books has started showing results and will be visible in the coming quarters. With our manufacturing facilities now operational in Malaysia and India, many cost-conscious customer segments have become accessible which will improve our margins and profitability further."

Opto has an order book of $50 million at the end of first quarter.

Opto Circuits' board, approved issue of rights equity shares to the existing shareholders of the company in the ratio of one equity share for every six equity shares held at the rate of Rs 31 per equity share, to raise about Rs 125 crore subject to necessary approvals.