Opto Circuits Q4 net up 68%

Bangalore-headquartered health care equipment company, Opto Circuits has registered a 68 per cent rise in its net profit to Rs 111 crore in the fourth quarter of last financial year as compared with Rs 66.11 crore reported in the corresponding period last year.

Total sales of the company rose by 62.8 per cent to Rs 544.54 crore in the same period as compared with Rs 334.46 crore reported an year earlier.

However, operating profit rose marginally by three per cent to Rs 104 crore against Rs 101 crore reported an year earlier. On an annual basis, net profit rose by 41.2 per cent to Rs 367.20 crore as compared with Rs 260 crore reported an year back. Total sales of the company rose by 47 per cent to Rs 1585.56 crore in the last financial year.

Operating profit of the company in the last fiscal rose by 15 per cent to Rs 393.81 crore as compared with Rs 339 crore reported in the corresponding period last year.

“The larger goal for the coming years is to increase market share internationally and to achieve further penetration in the emerging markets. We will be leveraging cross-selling opportunities and channel strengths across subsidiaries towards the end,” Vinod Ramnani, chairman and managing director of Opto Circuits said.

He also said the company had been able to achieve a double digit EBIDTA figure for Cardiac Science despite its acquisition in December, 2010. Opto Circuits has drawn 78 per cent of its turnover from medical equipment, 20 per cent from interventional devices and remaining from other businesses in the last fiscal.

The medical equipment company has acquired three companies in its bid to enter into new product segment in FY11. It has bought Unetixs, the US based company at $9.7 million in July that develops and manufactures peripheral diagnostic equipment.

The company also acquired Washington based Cardiac Science Corporation for $46 million, which develops and manufactures public access defibrillator and cardiac monitoring systems. It has also bought a domestic company, N S Remedies for $1.50 million in April, 2010 which has extended its capabilities in interventional device manufacturing.

Out of the total turnover, while international business contributed around 96 per cent in the last financial year, rest has come from domestic business.

Similarly, health care segment contributes the most to the overall business with the rest coming from information technology vertical.

Opto specialises in range of products like pulse oximeter sensors, fluid warmers, cholesterol monitors and stents.

It markets its products in the US, Europe, Middle East, Far East, and South Africa and is looking at emerging economies like India, China and Brazil to increase the share of its business.