OREANDA-NEWS. May 20, 2011. The board of directors of Voltas, a Tata enterprise, today, announced the consolidated audited financial results and segment report for the year ended March 31, 2011.

The directors have recommended a dividend of 200 per cent for the year ended March 31, 2011 (previous year 200 per cent).

Stand-alone results - highlights

Year ended March 31, 2011

Operating profit at Rs478 crore, up by 6 per cent.

Profit after tax at Rs354 crore, up by 3 per cent.

Sales / income from operations at Rs5169 crore.

EPS at Rs10.68 on face value of Re1.

The company’s stand-alone operating profit (profit before tax and exceptional items) was Rs478 crore as compared to Rs449 crore in the previous year driven by encouraging performance in engineering products and services and unitary cooling products businesses. Sales / income from operations rose by 14 per cent to Rs5,169 crore, as compared to Rs4,517 crore in the previous year. Earnings per share works out to Rs10.68 as compared to Rs10.40 for the previous year (face value of Re1). Tax for the year is higher than in the previous year due to write back of tax provisions in the previous year on account of finalisation of certain appeals in favour of the company.

Consolidated results - highlights

Year ended March 31, 2011

Operating profit at Rs484 crore.

Profit after tax and minority interest at Rs357 crore.

Sales / income from operations at Rs5,211 crore.

EPS at Rs10.80 on face value of Re1.

The company’s consolidated operating profit (profit before tax and exceptional items) was Rs484 crore as compared to Rs507 crore in the previous year. Profit before tax was Rs524 crore and net profit after tax and minority interest was Rs357 crore.  The drop in profitability is primarily due to loss reported by Rohini Industrial Electricals (RIEL). Sales / income from operations rose by 9 per cent to Rs5,211 crore, as compared to Rs4,782 crore in the previous year. Earnings per share works out to Rs10.80 as compared to Rs11.51 for the previous year (face value of Re1).

The electro-mechanical projects and services segment revenue was marginally lower at Rs3,041 crore as compared to Rs3,113 crore in the previous year due to drop in revenues of international projects by 13 per cent over the previous year and RIEL. Consequently, the profitability of this segment was impacted and lower at Rs239 crore as compared to Rs309 crore in the previous year. Some of the prestigious projects completed during FY2010-11 were the Ferrari Experience, the world’s largest indoor theme park at Yas Island, Abu Dhabi, and Commonwealth Games 2010 stadiums.

The company won several prestigious awards in the Middle East, namely MEP Contractor of the Year, MEP Project of the Year and MEP Project Manager of the Year, against stiff competition. The company also won the prestigious Dubai Quality Appreciation award in the construction sector, in its first year of participation.

The overall carry-forward order book for the electro-mechanical segment as at March-end stands at Rs4,888 crore including large orders booked for Chennai Metro Rail project (Phase I), F1 racing circuit at Noida and three AIIMS hospitals. The company recorded success in its thrust into the ‘Green’ building sector by securing the order for HVAC solutions for the upcoming Paryavaran Bhawan in New Delhi.

Engineering products and services segment revenue grew by 21 per cent at Rs564 crore as compared to Rs468 crore last year. All the businesses — textile machinery, mining and construction equipment, and materials handling — have performed better. The profitability of this segment increased by 34 per cent at Rs103 crore as compared to Rs77 crore last year. 

Unitary cooling products business also grew strongly in FY2010-11 recording an increase of 37 per cent in revenue at Rs1,561 crore as compared to Rs1,139 crore last year. Increase in profitability was 33 per cent at Rs160 crore as compared to Rs120 crore last year.