Financial Performance For Q1FY11

• Central airconditioning and commercial refrigeration major Blue Star Limited reported Total Operating Income of Rs 664.83 crore for the quarter ended June 30, 2010, as compared to Rs 531.00 crore in Q1FY10, representing an increase of 25%.
• Operating profit (PBIDT excluding Other Income) for the quarter declined by 10% to Rs 55.87 crore. Change in the business mix and escalation in input costs were mainly responsible for the decline.
• Net Profit was lower by 10% at Rs 37.15 crore compared to Rs 41.17 crore in Q1FY10.
• Earnings per share for the quarter (Face value of Rs 2.00) stood at Rs 4.13 vis-à-vis Rs 4.58 in the corresponding quarter of the previous year.
• The Electro Mechanical Projects and Packaged Airconditioning business accounting for 57% of the total revenues in the quarter, grew 19% while segment results remained flat. Cooling Products revenue registered a healthy increase of 33% in the quarter, driven mainly by higher room airconditioner sales. Segment results, increased by 6%. The Professional Electronics and Industrial Systems business revenues grew significantly by 31%, but segment results registered a decline of 23% due to change in the product mix.
• Carry Forward Order Book as on June 30, 2010 increased to Rs 1976 crore compared to Rs 1717 crore as at June 30, 2009, representing a growth of 15%.

Outlook

Ashok M Advani, Executive Chairman, says, “Q1 financial results show strong revenue growth. However, higher input costs have adversely affected margins and profits and we are taking steps to deal with the problem. On the whole, the reasonable carry forward order position and the growing Indian economy make me cautiously optimistic about prospects for the rest of the year.”

For additional information, please contact: B Thiagarajan, President, Airconditioning & Refrigeration Products Group, Blue Star Limited, Bandbox House, 254D, Dr Annie Besant Road, Worli, Mumbai - 400 030 email: btn@bluestarindia.com Telephone: 09821078098.