EID Parry (India) has reported a higher profit after tax of Rs. 49.48 crore for the quarter ended September 30, 2011, up from Rs.9.94 crore in the same quarter last year. The higher PAT was mainly due to the increase in profit from co-generation of Rs. 17.98 crore ( Rs. 3.89 crore) and in other income of Rs. 58.91 crore (Rs. 41.30 crore) mainly in the form of dividend received from investment in group company. The turnover is higher at Rs.415.01 crore against Rs.286.21 crore.
The gross profit from operations before other income, interest and exceptional items stood at Rs.3.11 crore for the September quarter as against a loss of Rs.19.34 crore in the same period previous year. Revenue from sugar business alone totalled Rs.356.99 crore (Rs.234.36 crore). Ravindra S Singhvi, Managing Director, expected the picture to be positive for the reminder of the year. On a consolidated basis, the company's profit after tax (before minority interest) was lower at Rs.216.24 crore against Rs.297.45 crore. Net sales stood at Rs.3,303.13 crore (Rs.3,065.91 crore).
Addressing a press conference here on Monday, Mr. Singhvi said the focus of the company was to stabilise and consolidate the operations at its nine plants in the South. To a query, he said over 50 per cent of the revenue from sugar business came from sales to institutions. He was hoping that this would go up to 70 per cent by 2013-14.
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Mr. Singhvi said the company had to receive a ‘significant amount' from the state electricity board in Tamil Nadu. He said close to Rs.100 crore was due from the electricity board for over 8-9 months now. The company, he said, had a power purchase agreement with the electricity board. The delay in payment, he admitted, had put some strain on the working capital. Given the power shortage in the state, he was quite confident that the issue would find a solution soon.