Kolkata, May 11,2018:The Board of Directors of Tube Investments of India Limited (TII) met today and approved the financial results for the quarter and year ended 31st March 2018. The Board has recommended a final dividend of Rs. 0.50 per share for the year ended 31st March 2018. The Board had declared an interim dividend of Rs. 1.25 per share which was paid to the shareholders in February 2018.
Standalone Results
For the year 2017-18, TII’s Revenue was higher by 12%at Rs. 4598 Cr. as against Rs. 4109 Cr. (net of excise duty) in the previous year. The profit before tax and exceptional items for the year was at Rs. 218 Cr. as against Rs. 202 Cr. in the previous year, registering a growth of 8%. Despite slowdown in Bi-cycles sales, strong growth in Auto sector helped the Company.
TII’s Revenue for the quarter was at Rs. 1116 Cr. as against Rs. 1090 Cr. (net of excise duty)in the corresponding quarter of the previous year. The profit before tax and exceptional items for the quarter was at Rs. 49Cr. as against Rs. 42 Cr. in the corresponding quarter of the previous year, registering a growth of 18%.
The results have considered an impairment provision of Rs. 25.25 Cr. pertaining to its Joint ventures, considering the current performance and future outlook.
Review of Businesses
Engineering
Indo mestic tubes, we continue to improve our market share through better quality and service. The sales of Large Diameter Tubes recorded a growth of 70% through better efficiency and throughput.Engineering division has registered revenue growth of 24% (net of excise duty) during the year and Profit before interest and tax for the year was Rs. 175 Cr. as against Rs. 146 Cr. in the previous year, a growth of 20%.
This division has registered revenue growth of 27% (net of excise duty) during the quarter, aided by growth in domestic sales of Tubes. Profit before interest and tax for the quarter was Rs. 46 Cr. as against Rs. 25 Cr. in the corresponding quarter of the previous year.
Cycles and Accessories
The Market condition of the Bicycles segment continues to be difficult. Trade volumes declined by 10%. The division’s sales in Institution segment have offset, to some extent, the drop in trade segment. Premium Cycles Segment grew by 29%. This division continues to pursue aggressive cost reduction measures to mitigate the drop in volumes. The revenue of this segment dropped by 3% (net of excise duty) during the year. Profit before interest and tax for the year was Rs. 0.33 Cr. as against Rs. 36 Cr. in the previous year.
This division has registered a revenue drop of 40% (net of excise duty) during the quarter. Loss before interest and tax for the quarter was Rs .20Cr. as against the profit of Rs. 6Cr. in the corresponding quarter of the previous year.
Metal Formed Products
Revenue of this division, with a product range of door frames, chains and fine banking products catering to Auto sector, registered a growth of 11% (net of excise duty) during the year and Profit before interest and tax for the year was Rs. 102 Cr. as against Rs. 88 Cr. in the previous year, a growth of 16%.
This division has registered revenue growth of 18% (net of excise duty)during the quarter compared with corresponding quarter in the previous year. Profit before interest and tax for the quarter was Rs. 28Cr. as against Rs. 20Cr. in the corresponding quarter of the previous year.
Consolidated Results
For the year 2017-18, TII has recorded revenue of Rs. 5027 Cr. as against Rs. 4493 Cr. (net of excise duty) in the previous year, registering a growth of 12%. TII achieved consolidated Profit aftertax of Rs. 156 Cr. as against Rs. 174 Cr. in the Previous Year.
Shanthi Gears Ltd., a subsidiary company in the industrial gears business, in which the Company holds 70.12% stake, registered a revenue growth of 16% (net of excise duty) for the year compared with the previous year. The revenue for the year was Rs. 214 Cr. as against Rs. 184 Cr. in the previous year. Profit after tax for the year was at Rs. 29 Cr. as against Rs. 23 Cr.in the previous year, registering a growth of 27%.
Corporate Comm India(CCI Newswire)
