Financial Performance For Q3FY14

• Airconditioning and commercial refrigeration major, Blue Star Limited reported Total Operating Income of Rs 545.90 crores for the quarter ended December 31, 2013, as compared to Rs 598.80 crores in Q3FY13.
• Operating Profit (PBIDT excluding Other Non Operating Income) for the quarter reduced to Rs 14.89 crores from Rs 25.43 crores in the same period last year.
• Financial Expenses for the quarter decreased to Rs 12.60 crores from Rs 13.72 crores in Q3FY13.
• Consequently, Net Profit declined to Rs 2.81 crores during the quarter from Rs 5.37 crores in Q3FY13.
• Earnings per share for the quarter (Face value of Rs 2.00) stood at Rs 0.31 vis-à-vis Rs 0.60 in the corresponding quarter of the previous year.
• The Electro Mechanical Projects and Packaged Airconditioning Systems business, accounting for 64% of the total revenues in the quarter, declined by 12%, while segment results registered a decline of 21% to Rs 18.11 crores, mainly due to slower execution of projects as well as correction in the estimates of project revenues and costs based on revised quantity estimates.
• The revenue of Cooling Products in the quarter was same as Q3FY13, while segment results grew 21% to Rs 4.58 crores over the same period. Better market penetration, proactive revision in selling prices as well as a higher mix of in-house manufactured products resulted in the increase in profitability.
• The Professional Electronics and Industrial Systems business revenues declined by 11%, while segment results registered a decrease of 10% to Rs 8.61 crores due to the unfavourable business climate.
• Carry Forward Order Book as on December 31, 2013 increased to Rs 1737 crores compared to Rs 1628 crores as at December 31, 2012.

Financial Performance For The 9-Month Period Ended December 31, 2013 (Cumulative Q3FY14)

• For the 9-month period ended December 31, 2013, the Company reported Total Operating Income of Rs 1901.70 crores, as compared to Rs 1908.82 crores over the same period in the previous year.
• Operating Profit (PBIDT excluding Other Non Operating Income) reduced to Rs 75.92 crores from Rs 79.11 crores.
• Net Profit at Rs 33.10 crores was about the same as the previous year.

Outlook

The dull business environment continues to dampen capital investment decisions as well as commercial construction, resulting in adverse impact on the profitability of the Company. However, over the 9-month period of the current financial year, the Company has managed to maintain its overall performance due to prudent financial management, cost control measures and enhanced distribution reach, and will work towards sustaining this performance in the last quarter of the financial year.

For additional information, please contact: B Thiagarajan, Executive Director & President, AC&R Products Business, Blue Star Limited, Bandbox House, 254D, Dr Annie Besant Road, Worli, Mumbai – 400 030 email: btn@bluestarindia.com Telephone: 09821078098.