Voltas Ltd., India's Largest leading AC company in India and one of the world's premier engineering solutions providers and project specialists, reported a significant fall in its consolidated net profit for the fourth-quarter, on one-time charge.
The company said due to difficult global economic conditions and uncertainties, coupled with high interest rates, inflation, increase in input costs, most of the businesses were adversely impacted.
The Mumbai-based company posted a fourth-quarter consolidated net profit, after minority interest and share of associates, of Rs.8.92 crore or Re.0.27 per share, lower by 91 percent than the Rs.103.81 crore or Rs.3.14 per share of the corresponding period last year.
Results for the quarter included a one-time charge of Rs.95.55 crore towards the Onerous contract. The results also included a gain of Rs.32.23 crore, under exceptional items, compared to a gain of Rs.2.54 crore in the preceding year quarter, towards profit on sale of properties/surrender of tenancy rights less charge of voluntary retirement scheme/early separation scheme.
Its fourth quarter's net income rose by one percent to Rs.1,592.22 crore from the Rs.1,573.46 crore a year-ago, while other operating income was Rs.4.89 crore, compared with the Rs.0.97 crore of the previous year.
During the quarter, income from 'Electro-mechanical Projects and Services' amounted to Rs.883.35 crore, while that of 'Engineering Products and Services' stood at Rs.103.90 crore.
Income for the quarter from 'Unitary Cooling Products for Comfort and Commercial Use' segment totaled Rs.585.51 crore and that of 'Others' was Rs.19.82 crore.
For the full year, the company earned a consolidated net profit, after minority interest and share of associates, exceptional items and additional charge on the Onerous contract, of Rs.207.78 crore, up by 28 percent from the Rs.162.06 crore in 2012. Total net income, including other operating income, increased by seven percent to Rs.5,530.96 crore from the Rs.5,185.74 crore last year.
Stand-alone Results
The company reported a fourth-quarter stand-alone net loss of Rs.4.48 crore or Re.0.14 per share, compared with a net profit of Rs.101.72 crore or Rs.3.07 per share of the corresponding quarter last year. Total net income, including other operating income, was Rs.1,628.55 crore, flat from last year's Rs.1,621 crore.
Results for the quarter included a one-time charge of Rs.95.55 crore towards the Onerous contract. The results also included a gain of Rs.15.24 crore, under exceptional items, compared to a gain of Rs.2.05 crore in the preceding year quarter, towards profit on sale of properties/surrender of tenancy rights less charge of voluntary retirement scheme/early separation scheme.
For the fiscal year, the company's stand-alone net profit rose by 19 percent to Rs.180.07 crore from the Rs.151.87 crore in 2012. Total net income, including other operating, grew by eight percent to Rs.5,565.43 crore from the Rs.5,169.76 crore last year.
Its board recommended a dividend of 160 percent or Re.1.60 per equity share of 1 each for the fiscal year 2013, to be paid on or after August 21, 2013.
At the BSE, Voltas shares are currently trading at Rs.89.65, down 2.98 percent from the previous close.
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