| Gujarat
NRE Coke Limited registers 44% growth in Profit after Tax
for the half year ended 3lst
March 2005
(Press Release, April 26, 2005)
Kolkata,
April 25, 2005 - Gujarat NRE Coke Limited today announced
its unaudited results approved by the Board of Directors for
the quarter and half year ended March 2005.
Highlights
Results far the half year ended March 31, 2005
Growth over the corresponding period last year:
�
Profit Before Interest & Tax (PBIT) up by 48% to Rs.
61.30 Crores
� Income from Operations for the period was Rs.155.69 Crores,
an increase of 48%
� Profit After Tax grew by 44% to Rs. 43.44 Crores
Results
for the Quarter ended March 31, 2005
Profit Before Interest & Tax (PBIT) was Rs.20.10 Crores
Profit After Tax was Rs.13.37 Crores
Outlook for the Quarter ending June 30, 2005
Arun Kumar Jagatramka, Vice Chairman & Managing Director
of Gujarat NRE Coke Limited, commenting on the results said
�Gujarat NRE recorded yet another quarter of satisfactory
performance. During the Quarter, the Company could bag an
export order for Rs.136 Crores thereby ensuring advance sale
of additional production available consequent to increase
in capacity during the financial year 2005 - 06. While domestic
demand for coke remains very strong, the Company has also
been receiving continuous export enquiries which it is unable
to meet for want of adequate inventory level, which is necessary
to service exports through single large shipment of 30000-40000
MT at one time".
Keeping this requirement in mind the Company has developed
a special export processing facility at its plant at Khambhalia
enabling it to store & screen material for a full shipload
of various size requirements as desired by customers. This
long term strategic move has led to a policy for building
up large finished goods inventory to provide the Company with
a leading edge in the Global Coke market and has consequently
resulted in temporary shortfall in sales during the quarter.
This shortfall in sales in last quarter would, however, prove
to be the future engine of growth for the Company providing
it with the much needed inventory build up in a market where
supply crisis has been the order of the day.
With
the completion of new project at Bhachau near Kandla, the
production of the Company in Gujarat is expected to increase
substantially during the rest of the current year and would
enable the company to execute large export orders smoothly.
The
Company also expects substantial savings in raw material purchase
costs once its own coking coal mine in Australia goes into
full production from July, 2005.
About
Gujarat NRE Coke Limited
Gujarat
NRE Coke has been a profit-making company ever since inception.
It is the largest non-captive manufacturer of low ash metallurgical
coke in India. it has exported several cargo of coke to foreign
destinations, creating the first industry instance in the
country. In order to obtain business stability in a volatile
raw material environment, it has acquired a coking coal mine
in Australia 'NRE No. 1 colliery� through its subsidiary �Gujarat
NRE Australia Pty Ltd� and this mine has already started coal
production and is expected to be fully operational by July
2005.
The
company has recently issued FCCB of USD 55 Million which was
oversubscribed. The Company has also recently allotted warrants
to its promoters for Rs. 200 Crores, each warrant to be convertible
into one equity share of Rs. 10/- each at a price of Rs.200/-
per share. FCCBs are listed on the Luxembourg Stock Exchange,
and equity shares are listed in India on the Stock Exchange
- Calcutta, Mumbai, and the National Stock Exchange.
For
more information, please visit our website at www.gujaratnre.com
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