Voltas' Q3 net profit up by 45 per cent; net sales up by 18 per cent: operating profit up by 120 per cent
January 27, 2005

Mumbai: Voltas, the air conditioning and engineering services company of the Tata Group, has posted a significant growth in net profit and net sales in the quarter ended December 2004.

Most of the company's businesses have performed well during the quarter ended December 2004 and the company posted an operating profit (profit before tax and extraordinary / exceptional items) of Rs 743 lakh as against Rs 337 lakh, a 120 per cent increase over the corresponding quarter of the previous year.

The company registered a 45 per cent increase in net profit after tax to Rs 760 lakh in Q3 ended December 2004 as against Rs 523 lakh in the corresponding quarter of the previous year. The company's net sales rose by 18 per cent to Rs 29,860 lakh as against Rs 25,384 lakh. The company's performance was driven by strong growth in electromechanical project and services segment (24 per cent), which includes domestic air conditioning and refrigeration business as well as international projects; textile machinery business (46 per cent) and the machine tool business (66 per cent), being part of the engineering agency and services segment. While cooling appliances business registered a growth of 35 per cent, the performance of Hyderabad unit business, under the unitary cooling products for comfort and commercial use segment was adversely affected due to lower capacity utilisation.

For the nine months ended December 2004, net profit after tax increased to Rs 2,758 lakh, as compared to Rs 1,972 lakh in the corresponding period of previous year. The net sales increased to Rs 94,173 lakh as compared to Rs 92,254 lakh. The operating profit increased to Rs 3,065 lakh as against Rs 1,982 lakh.