You are here: Home - Company - - News @ Jains - Jain Irrigation returns to Dividend list

News @ Jains - Jain Irrigation returns to Dividend list

Jain Irrigation has announced 42% increase in revenues from Rs. 604.81 Crores to Rs. 858.90 Crores, whereas PBDIT has increased by 39% and net profit has more than doubled from Rs.32.40 Crores in earlier year to Rs.67.17 crores in FY 05-06. Exports have contributed Rs.289 Crores to overall revenue. On a quarterly basis revenues have shown 50% increase from Rs.218 Crores Q4 FY 04-05 to Rs.330 Crores Q4 05-06. The Gross Profit has increased by 53% at Rs.52.94 Crores. The net profit after tax for quarter has increased by over 86% at Rs.33.19 Crores.

In the micro / sprinkler systems division the projects like Andhra Pradesh Micro Irrigation Project and Gujarat Green Revolution Co. Ltd. have helped Company achieve historic growth levels. Allocation of higher subsidy through Government Programs also enhanced growth opportunities for the division. Acquisition of Chapin Watermatics USA, a pioneer in drip irrigation in the world and Strategic stake in Eurodrip S.A. Greece, a drip irrigation company with 5 plants worldwide; along with capacity expansion under way, will further enhance growth in this division.

Continuing telecom expansion and identification of new business opportunities in the areas of water distribution have been highlights of growth in the PE pipes business.  PVC Pipes sales will maintain growth momentum due to aggressive government programme’s for drinking water supply to all villages and additional irrigation to 10 million hectares.

Exports of PVC Sheets have grown in a steady manner.  Further, Company has added significant new customers for building product applications. Recent investment in Nucedar will also help the Company to take lead over competition through newer applications in building industry.

The recent acquisitions in the Food Processing sector like Parle Bisleri’s mango division, LMP Gujarat Agro Exports etc. have added capacity at low cost in the two food related businesses of the Company. FY 06-07 is going to be the year of significant growth for food division.

The Directors have recommended payment of 18%  Dividend at Rs.1.80 per share.

The Company had in March 2006 completed issue of $60mn FCCB and is implementing an expansion plan for significant increase in existing capacities. The new capacities will be coming on stream in 2nd half of current year.

Back to News Headlines

Click here for more details