Financial Performance For The Quarter Ended September 30, 2008 (Q2FY09)

Central airconditioning and commercial refrigeration major Blue Star Limited reported Total Income of Rs 646.58 crore for the quarter ended September 30, 2008, representing 18% growth over the same period in the previous year.

Net Profit at Rs 44.95 crore was marginally lower compared to Rs 45.97 crore in Q2FY08. The economic slowdown coupled with an increase in cost of raw material and higher interest cost adversely affected profit margin.

Carry Forward Order Book as on September 30, 2008 increased to Rs 1555 crore compared to Rs 1031 crore as at September 30, 2007, registering a growth of 51%.

Financial Performance For The Half-Year Ended September 30, 2008 (H1FY09)

For the half-year ended September 30, 2008, the Company reported Total Income of Rs 1277.61 crore, representing 26% growth over the same period in the previous year.

Net Profit at Rs 81.36 crore increased by 19% compared to Rs 68.29 crore in H1FY08.

Outlook

Ashok M Advani, Chairman and Managing Director says, "The gloomy economic outlook and liquidity crunch have affected most companies across the globe. Considering the volatility of the market place, we have been selectively pursuing segments which offer profitable growth opportunities. In addition, we continue to focus on cost control measures and on managing working capital efficiently. Over its 65 years of existence, Blue Star has time and again demonstrated its ability to rapidly adapt itself to the external environment. I am confident that this time, too, we will rise to the occasion."

For additional information, please contact: B Thiagarajan, Executive Vice President, Blue Star Limited, Bandbox House, 254D, Dr Annie Besant Road, Worli, Mumbai - 400 030 email: btn@bluestarindia.com Telephone: 66544000.