The Hindu Business Line : AIA Engg net profit, sales up

The Ahmedabad-based AIA Engineering Ltd , manufacturer of high chrome abrasion and corrosion resistant critical wear parts for cement, mining and power plants, has recorded a 97 per cent jump in net profit according to consolidated financials of the company for the year ending March 31, 2006, a company release said.

What is significant is that the jump in net profit has been achieved after paying Rs 25 crore for taxation. The board of the company, at its meeting here on Saturday, took on record the audited financial results for fiscal 2006.

The company, which went public recently, also announced a dividend of 25 per cent for the shareholders.

According to figures released by the company, the consolidated earnings from net sales at Rs 406.96 crore was 38.5 per cent higher than the earnings of Rs 293.67 crore for the year ended March 31, 2005. The profit before tax at Rs 79.54 crore was up 95.2 per cent over the previous year. The net profit at Rs 52.36 crore, after providing for taxation, increased by 97 per cent.

The independent financials have been equally impressive reflecting a robust performance. The net sales income at Rs 301.75 crore was higher by 35.6 per cent than the earnings of Rs 222.49 crore for the year ended March 31, 2005.

The profit-before-tax at Rs 56.49 crore was a 77.7 per cent increase over Rs 31.78 crore registered in the previous year. The net profit at Rs 37.28 crore compared to Rs 20.40 crore in fiscal 2005 was a hefty rise of 82.76 per cent.

AIA Engineering sells its products to all major cement groups including Lafarge, Holcim, Heidelberger, and original equipment manufacturers such as FL Smidth, Polysius and major thermal power plants and mines.

The group operates four manufacturing plants in India and has full-fledged marketing subsidiaries in the UK, the US and West Asia , the release added.