The Hindu Business Line : VIP Industries Q4 net up 10% on higher sales

Mumbai June 6 VIP Industries Ltd has posted a 10.68 per cent rise in net profit at Rs 3.73 crore (Rs 3.37 crore) for the quarter ended March 31, 2007.

Net sales grew 22.78 per cent to Rs 98.1 crore (Rs 79.9 crore) for the same period.

For the full fiscal, net profit showed an increase of 83.18 per cent to Rs 14.16 crore (Rs 7.73 crore), while net sales rose 39.07 per cent to Rs 433.24 crore from 311.53 crore.

However, results for the quarter and the year ended March 31, 2007 and consolidated results for the year are inclusive of figures of the erstwhile Blow Plast Ltd and to that extent are not comparable with the figures of the corresponding period of previous year, said the company in a release.

The increase in the paid-up capital and non-promoters' holding is on account of shares issued to the shareholders of the erstwhile Blow Plast Ltd in the ratio of 1:1 and allotment of six lakh equity shares consequent to exercise of options granted under the Company's Employee Stock Option Scheme - 2004.

The company has recommended a dividend of Rs 2.50 per share for the approval of shareholders for fiscal 2007.

Amalgamation

The board of directors has approved, in-principle, the proposal of amalgamation of Aristocrat Luggage Ltd and Quality Plastics Ltd with the company and has formed a Committee of Directors to assess the feasibility, appointment of valuers, recommendation of exchange ratio and so on. Pursuant to the order dated January 12, 2007 passed by the High Court of Judicature of Bombay, at Mumbai, Blow Plast Ltd stands amalgamated with the company with effect from April 1, 2006.

The Committee of Directors of Aristocrat Luggage Ltd has approved PricewaterhouseCoopers Pvt Ltd and Chhotalal H Shah & Co Chartered Accountants as valuers to undertake valuation of the equity shares of Aristocrat towards determining the share exchange ratio to be recommended to the board of directors.

Shares of VIP Industries closed 0.05 per cent higher at Rs 98.90 on the BSE.