• Value of production for the quarter was up by 27% (to Rs 114.35 crore) even as the revenue was up by 16% to Rs 107.85 crore. Sales lower than value of production means inventory built up or delay in delivery which will get liquidated/delivered/invoiced in coming quarters.

• Operating profit margin for the quarter contracted by 140 bps to 12.1%. Contraction in OPM can be attributed to sharp rise in material cost. Material cost as proportion to sales net of stocks was higher by sharp 640 bps to 67.4%. But staff cost was down by 150 bps (to 10.5%), the contract expenses was down by 80 bps (to 8.1%) and the OE was down by 150 bps (to 2.6%). Thus hit by lower OPM, the operating profit was up by just 4% to Rs 13.04 crore.

• Other income was up at Rs 0.31 crore. The interest cost was lower by sharp 8% to Rs 7.45 crore. And the depreciation cost was down by 16% to Rs 1.03 crore. Thus facilitated by higher OI, lower interest cost and lower depreciation, the PBT was up by 59% to Rs 4.89 crore.

• The taxation net of deferred tax was up by 80% to Rs 1.69 crore in absolute terms. But the tax rate was higher at 34.7% as against 30.6% in corresponding previous period. Thus the growth at PAT was restricted at 49% to Rs 3.19 crore.

• The other comprehensive income was down by 37% to Rs 0.03 crore and thus the total comprehensive income was up by 48% to Rs 3.22 crore.

Nine month performance

Sales were lower by 5% to Rs 267.99 crore and with 160 bps expansion in OPM; the operating profit was up by 8% to Rs 34.89 crore. After accounting for lower OI, higher interest and lower depreciation, the PBT was up by 5% to Rs 11.37 crore. As taxation stand higher the PAT was down by 25 to Rs 7.25 crore. After accounting for lower other comprehensive income, the total comprehensive income was eventually down by 3% to Rs 7.34 crore.