The Hindu Business Line : IPCL posts 215 pc growth in Q1 net

INDIAN Petrochemicals Corporation Ltd (IPCL) has returned a net profit of Rs 123 crore for the first quarter of the financial year 2005, registering a 215 per cent growth over Rs 39 crore posted in the corresponding period last year. This also means that IPCL has, in only three months, covered 45 per cent of the net profit earned in the entire last year at Rs 273 crore.

The improved performance came even as IPCL posted a net turnover of Rs 1,810 crore — a 34 per cent growth — over Rs 1,355 crore posted in the previous first quarter. With inter-divisional transfers accounting for Rs 1,216 crore and excise duty recovered on sales at Rs 276 crore, the gross turnover of the Vadodara-based company stood at Rs 3,302 crore, a good 25 per cent rise from Rs 2,633 crore in the first quarter of 2003-04. During the period, IPCL's production increased by 20 per cent to 1.25 million tonnes.

The export earnings of IPCL during the period under review at Rs 205 crore grew by 67 per cent from Rs 123 crore in April-June 2003. The other noticeable aspect was the company's interest burden, which more than halved at Rs 28 crore from Rs 61 crore in the corresponding quarter last year, mainly on the strength of reduced debt.

In a communique, Mr Mukesh D Ambani, Chairman, IPCL, said, "We are satisfied with IPCL's strong performance in a quarter in which petrochemical margins have remained robust. We are confident of further improvement in IPCL's operating and financial performance in the future."