BHARAT FORGE LIMITED
Regd. Office : Mundhwa, Pune 411 036
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER
ENDED 30th JUNE, 2006.
       
(Rs. in Million)
Sr.No.
Particulars
Quarter ended
Year ended
30th June, 2006 (Reviewed)
30th June, 2005 (Reviewed)
31st March, 2006 (Audited)
         
1 Sales & Income from Operations      
  - Domestic
2,855.33
2,365.80
10,430.88
  - F.O.B value of Exports & Corresponding Income
1,700.83
1,541.60
6,554.89
  Total Sales
4,556.16
3,907.40
16,985.77
  Less : Exsice Duty
350.46
272.27
1,206.46
  Total Net Sales / Income from Operations
4,205.70
3,635.13
15,779.31
   
2 Other Income
232.51
111.70
531.13
3 Total Income 4,438.21
3,746.83
16,310.44
   
4 Total expenditure :
  a) (Increase) / Decrease in stock in trade
7.55
(53.24)
(294.73)
  b) Consumption of raw materials
1,856.87
1,691.86
7,598.08
  c) Manufacturing Expenses
723.17
579.80
2,535.03
  d) Staff Cost
242.26
230.86
917.24
  e) Others
358.60
300.62
1,127.63
  Total expenditure
3,188.45
2,749.90
11,883.25
   
5 Profit before Interest, Depreciation and Tax
1,249.76
996.93
4,427.19
   
6 Interest
175.67
111.57
547.85
   
7 Depreciation
228.88
149.41
730.41
   
8 Profit before Tax & Exceptional item
845.21
735.95
3,148.93
   
9 Provision for taxation
  - Current
241.60
186.60
891.40
  - Deferred
38.68
54.83
154.88
 
- Fringe benefit tax
5.00
5.40
33.00
   
10 Profit after Tax & before Exceptional item
559.93
489.12
2,069.65
   
11 Exceptional item (Net of tax saving) ( See Note 5)
44.78
-
-
   
12 Net Profit
515.15
489.12
2,069.65
   
13 Paid-up Equity Share Capital (Face Value Rs.2/-)
445.40
431.96
444.62
   
14 Reserves excluding revaluation reserves
11,096.68
   
15 Earning per share of Rs. 2/-
 
Basic
 2.50
2.28
9.50
 
Diluted
 2.50
2.23
9.05
         
16 Earning per share of Rs. 2/- after Exceptional item
 
Basic
 2.30
2.28
9.50
 
Diluted
 2.30
2.23
9.05
   
17 Aggregate of non-promoter Shareholding
  - No of Shares
142,686,500
141,492,260
142,782,369
  - Percentage of shareholding
64.08%
65.53%
64.24%
         
 
     
 

Notes:

1. Previous year/ period's figures are regrouped/ restated wherever necessary to make them comparable with those of the current period.

2. The above results were reviewd by the Audit Committee, taken on record by the Board of Directors of the Company at its meeting held on July 29, 2006 and subjected to a "Limited Review" by the Auditors.

3. The Company has incurred an expenditure of Rs.6,406.09 Million upto June 30,2006 towards its ongoing Forging & Machining Capacity expansion program.

4(a). Company had issued 0.5% Foreign Currency Convertible Bonds ( FCCB) due 2010 in two Tranches ( Tranche 1 & 2), each having varied rights and obligations , aggregating US $ 60 million each, convertible at an initial price of Rs.336.11 and Rs. 384.12 per share of Rs.2/- each respectively subject to adjustments specified in the offering circular dated 15th April 2005. In view of the current market price of the Company's equity shares being less than the Floor price for exercise, in respect of both the Tranches of the Bonds , the option embedded in the said Bonds to subscribe to Equity shares is, at present, antidilutive.

4(b). During the quarter , the Company has further issued Zero Coupon Foreign Currency Convertible Bonds ( FCCB) in two tranches (Viz. Tranche A and Tranche B) amounting to USD 40.00 million and USD 39.90 million due 2012 and 2013 respectively each having varied rights and obligations and optionally convertible at an initial price of Rs.604.33 and Rs.690.32 per share of Rs.2/- each respectively subject to adjustment specified in the offering circular dated 24th April, 2006. Since the current market price of the Company's Equity shares being less than the Floor price in respect of both the Tranches of the Bonds, the option embedded in the said Bonds to subscribe to Equity Shares is, at present, antidilutive.

Pending utilisation, the funds have been temporarily deployed in investments which together with funds out of GDR and Warrants issue, have generated other income aggregating Rs.145.24 million during the quarter.

5. During this quarter, the company has written off export incentives of Rs.44.78 million net of tax saving that had accrued and was accounted during the last year,due to reduction of incentive under Target Plus Scheme announced by Government of India in the current quarter with retrospective effect.

6. The Company's Joint Venture Operations in China through a 52% holding in the Equity of FAW Bharat Forge ( Changchun) Co. Ltd. commenced its operations during the quarter.

7. During the quarter, one Investor complaint was received and redressed. There were no Investor complaints pending for redressal as at the commencement and end of the quarter.

For Bharat Forge Limited

( B. N. Kalyani )
Chairman and Managing Director

  

 

Pune
Dated : July 29, 2006.