The Hindu Business Line : Tough biz climate pulls Moser Baer into losses

New Delhi, Aug 1 Moser Baer India on Friday posted a loss of Rs 103.9 crore during the first quarter ended June 2008 against a profit of Rs 9.6 crore in the year-ago period. The net loss includes a loss of Rs 28.2 crore on account of the adverse movement of foreign exchange, the company said.

Commenting on the results, Mr Ratul Puri, Executive Director, Moser Baer India, said that the global economic environment in which Moser Baer operated was challenging and that the company had to deal with a number of one-time costs during the quarter.

“Pricing for optical media after falling for a number of quarters has finally bottomed out. We stand to benefit from our lead technology positioning in Blu-ray, which is emerging as a dominant optical format. Our photovoltaic and entertainment businesses are poised to deliver significant growth during the current year and our goal is to emerge as a leading global player in both industries,” Mr Puri said.

Operations income

Income from operations stood at Rs 478.93 crore during the quarter in reference, compared to Rs 469.3 crore, in the same period previous year. According to Mr Yogesh Mathur, Group Chief Financial Officer, “Our cash flow situation continues to be positive with efficient management of working capital aimed at optimising productivity and efficiency. Capex intensity has fallen significantly while productivity has gone up.”

Solar photovoltaic

The first quarter of the year saw the PV business complete capacity expansion — from 40 MW to 80 MW for the crystalline silicon line; and from 20 MW to 40 MW for the module production line. “The photovoltaic subsidiary has received TUV certification for crystalline silicon modules, which significantly benefits the company’s market position and should result in enhanced revenues,” the company said.

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