News @ Jains - Jain Irrigation reports 140% Jump in net Profits

27th July, 2005 : Drip Irrigation player Jain Irrigation has reported 23% growth in revenues in Q1 over corresponding quarter of earlier year. The domestic revenues have grown at 28% to Rs. 106.64 crores while exports have grown at 17% to Rs. 57.25 crores.

While the raw material cost has remained constant at 62.5% of sales, the manufacturing expenses have shown decrease of 1.36% of revenues and selling expenses has remained at same level in percentage terms as last year. The EBIDTA margins have improved to 16% from 15.7% last year. While the interest has gone down by 8%, the depreciation has gone up by 7% as compared to last year.

The MIS / SIS division has reported an encouraging growth of 86.4%, whereas PE Pipes has shown 65.8% increase, PC Sheets have shown 64.5% growth in quarter. The other products lines have shown steady growth between 9% and 15%.

The Company has reported Rs. 10.71 crores first quarter profit of FY 2005-06 (compared to Rs.4.47 crores profit for last year) which translates into Rs. 1.84 per Share Earnings Per Share. The Company traditionally reports 35% revenues in I half of financial year and 65% revenues in II half of year, with commensurate profits. The Company continues its good order book in all significant divisions and is expecting to maintain a 50% growth in revenues this year too.