Goa Carbon Net Profit up by 77% YoY for Q3FY10

The Board of Directors of Goa Carbon Ltd. (GCL) has approved the unaudited results for the third quarter and 9 months ended Dec. 31, 2009.

Highlights of the quarter ended December 31, 2009:

1. Q3 FY10 net profit after tax at Rs 870.65 lakh as compared to Rs 493.07 lakh recorded in the corresponding quarter of the previous year, up 76.58% YoY.
2. Quantity sold during the Q3 FY 2009-10 was 55,446 MT as against the sale of 48,349 MT during Q3 FY 2008-09.
3. Q3 FY10 net sales at Rs 7906.23 lakh as compared to Rs 14,718.64 lakh recorded in the corresponding quarter of the previous year, down by 46% YoY.
4. The sale value has come down due to the steep fall in the selling price by 50%. Despite the reduction in selling price of final product, GCL managed to increase its profitability by focusing on domestic sales.
5. Q3 FY10 net profit margins are at 10.34%.

Highlights of the nine-months ended December 31, 2009:

1. 9M FY10 sales at Rs 20,120.74 lakh as compared to Rs 35,992.28 lakh recorded in the corresponding period of the previous year
2. 9M FY10 net loss stood at Rs 121.62 lakh as compared to Rs 1938.01 lakh recorded in the corresponding period of the previous year

Commenting on the performance, Mr. Shrinivas Dempo, Chairman, Goa Carbon Ltd., said, “In spite of a drop in the average selling price of coke, Goa Carbon’s net profit has shot up by 77% in the third quarter. This was achieved by optimising the blending of raw materials and through implementation of cost control measures through all the units. As far as the proposed right issue is concerned, we intend to do it after completing our land acquisition in China and finalising all the formalities in connection with the agreement with the joint venture partners. So, the rights issue may take place in the first half of next fiscal, 2010-11.”

About Goa Carbon Ltd.
Incorporated in 1967, Goa Carbon Ltd. (GCL) is the second largest manufacturer of Calcined Petroleum Coke (CPC) in India. A part of the Dempo Group, GCL supplies CPC to leading domestic as well as international aluminum smelters. GCL has a total manufacturing capacity of 240,000 TPA. While it started with manufacturing facility in Goa (75,000 TPA), GCL further augmented its capacity in 2002 by acquiring a petcoke calcining unit at Bilaspur in Chhatisgarh (40,000 TPA) and Paradeep Carbons Ltd. (PCL) at Paradeep in Orissa (125,000 TPA). The Bilaspur and Paradeep units are now merged with GCL.

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