Voltas' Q1 sales up by 39 per cent, net profit up by 140 per cent
July 20, 2007

The board of directors of Voltas has announced the unaudited financial results, including the segment report, for the quarter ended June 30, 2007.

Highlights

• Sales / income from operations at Rs833.69 crore, up by 39 per cent
• Operating profit at Rs78.16 crore, up by 138 per cent
• Profit after tax at Rs52.16 crore, up by 140 per cent
• EPS at Rs1.58 on face value of Re1 (not annualised)

The company's sales / income from operations rose by 39 per cent to Rs833.69 crore, as against Rs599.29 crore in the same period last year. Operating profit (Profit before tax and exceptional items) rose by 138 per cent to Rs78.16 crore as against Rs32.80 crore in the same period last year. Profit after tax rose by 140 per cent to Rs52.16 crore, as compared to Rs21.75 crore in the same period last year.

Announcing the results, MM. Miyajiwala, executive vice president (finance and CFO) of the company said, "The company has sustained the momentum of its accelerated growth, with most of its businesses performing at high levels. It has successfully seized the opportunities arising from substantial investment in various sectors of the economy."

The company's electro-mechanical projects and services segment's revenues grew by 52 per cent. The order book of this segment stands at Rs2007 crore.

The engineering products and services segment's revenue grew by 43 per cent. Textile machinery business achieved 23 per cent growth in sales, while materials handling business achieved 29-per cent growth in sales. Mining and construction equipment business achieved 73 per cent growth in sales.

The revenue of unitary cooling products for comfort and commercial use segment grew by 29 per cent including 46-per cent volume growth in air conditioners, driven by the launch of India's very first full range of energy efficient air conditioners. Water coolers and dispensers grew by 31 per cent in volume. The growth also reflects the peak-season nature of the first quarter, and the demand is expected to slow down in the second and third quarters.