IPCL net up 9% at Rs 351 cr

BS 200 Scorecard

IPCL has reported a net profit of Rs 351 crore for the quarter ended September 30, a 9.3 per cent rise over last year's corresponding quarter figure which stood at Rs 321 crore.

This quarter's turnover reached Rs 3477 crore, up 18 per cent over last year's Rs 2946 crore. The company's operating profit was at 21.22 per cent of total revenues against 16.19 per cent for corresponding quarter last year.

The figures for this quarter are not strictly comparable with last year's figures as the quarter also saw amalgamation of six polyester fibre companies with IPCL with effect from September 27. These companies are: Appollo Fibres, Central India Polyesters, India Polyfibres, Orissa Polyfibres , Recron Synthetics and Silvassa Industries.

Analysts pointed out that the amalgamation was the reason for the subdued results for this quarter. They also said with floods in Gujarat, customers expected the prices to fall and adopted a wait-an"�watch policy, which led to a lower off-take by the end of the quarter.

The company also reported a net profit of Rs 609 crore for the first half of the year, up 10 per cent over the corresponding period last year, which wasat Rs 554 crore. Operating profit went up by 37 per cent at Rs 1,376 crore, compared with Rs 1,002 crore in the corresponding period last year.

Turnover increased by 15 per cent to Rs 6,848 crore compared with Rs 5,936 crore in the corresponding period last year.

IPCL also declared its audited results for last year. It declared net profit of Rs 1,164 crore for the year ended March 31, up by 48 per cent, from Rs 786 crore last year. The company reported a rise in turnover by 32 per cent to Rs 12,362 crore, over the previous year's Rs 9,385 crore.

Operating profit went up by 24 per cent to Rs 2,171 crore compared with Rs 1,756 crore last year.

However, the figures for FY 2005-06 are strictly not comparable to FY 2004-05 on account of the impact of the merger. The company has also declared a dividend of Rs 5.50 per share for the last financial year.

Production volumes in the first half FY 2006-07 decreased from 2.87 million tonne to 2.76 million tonne due to limited availability of gas feedstock on account of floods in Gujarat in August.