INNOVATIVE TEXTILE SOLUTIONS PERFORMANCE ... - Alok …A(np... · INNOV ATIVE TEXTILE SOLUTIONS Innovative Textile Solutions 1 PERFORMANCE HIGHLIGHTS BUSINESS HIGHLIGHTS: FOR THE

INNOVATIVE TEXTILE SOLUTIONS

PERFORMANCE REPORTQuarter Ended31 March 2014

OUR VISION

To be the world’s best integrated textile enterprise, with a leadership position across products & markets, while

exceeding customer & stakeholder expectations

OUR MISSIONWe will:• Be a knowledge leader & an innovator in our businesses

• Maximise people development initiatives

• Optimise use of all resources

• Become a process driven organisation

• Exceed compliance and global quality standards

• Actively explore potential market & products

• Offer innovative, customised and value-added services to our customers

• Be an ethical, transparent and responsible global organisation

driven by research & innovation,

The barometer of our success would be the ROCE

OUR VALUES• Customer Satisfaction

• Passionate About Excellence

• Develop Human Capital

• Fair To All

• Concern For The Environment And

• The Community

• Safety And Health

• Responsible Corporate Citizen


1Innovative Textile Solutions

PERFORMANCE HIGHLIGHTS

BUSINESS HIGHLIGHTS: FOR THE QUARTER ENDED 31 MARCH 2014

Net Sales of Rs.3,889.78 crore An increase of 5.1% over previous quarter ended 31 Dec 2013 (Rs. 3,700.24 crore) Compared to Rs.3913.57 crore for corresponding quarter of 2012-13 - marginal drop

of (-0.6%)

Domestic Sales of Rs.3,146.64crore Growth of 5.2% over quarter ended 31 Mar 2013 (Rs.2,991.17 crore)

Operating EBIDTA of Rs. 824.41 crore Increased by 1.3% over previous quarter ended 31 Dec 2013 (Rs.813.74 crore) Decreased by (-15.49%) compared to quarter ended 31 March 2013 (Rs.975.47 crore)

Operating PBT at Rs.131.15 crore Margin of 3.37%

PAT of Rs.130.65 crore Includes Rs.65.69 crore gains from exceptional items

BUSINESS HIGHLIGHTS: FOR SIX MONTHS ENDED 31 Mar 2014

Net Sales of Rs.7590.02 crore An increase of 2.09% over six months ended 31 March 2013 (Rs.7434.38 crore)

Exports of Rs.1,729.31 crore Growth of 5.98% over six months ended 31 Mar 2013 (Rs.1,631.78 crore)

Operating EBIDTA of Rs. 1,638.15 crore Decreased by (-15.56%) compared to six months ended 31 March 2013 (Rs.1,940.05

crore)

Operating PBT at Rs.253.46 crore Margin of 3.34%

PAT of Rs.228.94 crore Includes Rs.92.30 crore gains from exceptional items

2 Performance Report March 31, 2014

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31 MARCH 2014

PART ISTATEMENT OF STANDALONE RESULTS FOR THE QUARTER ENDED 31 MARCH 2014

(` Crore)

PARTICULARS

Quarter Ended Period Ended

31.03.2014[3 Months](Reviewed)

31.12.2013(See note 4

below)[3 Months](Reviewed)




30.09.2013[18 Months]

(Audited)

1 Income from Operations

Net Sales / Income from operations 3,889.78 3,700.24 3,913.57 7,590.02 13,181.90 19,917.75

(Net of excise duty) Total Income from Operations

(net) 3,889.78 3,700.24 3,913.57 7,590.02 13,181.90 19,917.75

2 Expenses

a Cost of material consumed 2,190.83 3,105.17 2,835.57 5,296.00 8,515.36 13,908.87 b Changes in inventories of

finished goods, work-in-progress and stock-in-trade

440.81 (794.46) (344.64) (353.65) (1,000.27) (2,509.15)

c Employees benefit expenses 77.46 74.48 74.94 151.94 290.31 434.68 d Depreciation and Amortisation

expense 235.08 249.21 219.51 484.29 879.81 1,360.77

e Other expenditure 382.27 520.25 385.91 902.52 1,825.60 2,658.44 Total Expenses 3,326.45 3,154.65 3,171.29 6,481.10 10,510.81 15,853.61

3 Profit from operations before other income, finance costs and exceptional items

563.33 545.59 742.28 1,108.92 2,671.09 4,064.14

4 Other Income 26.00 18.94 13.68 44.94 37.20 60.16 5 Profit from ordinary activities

before finance costs and exceptional items

589.33 564.53 755.96 1,153.86 2,708.29 4,124.30

6 Finance Costs 458.17 442.23 405.47 900.40 1,427.35 2,260.66 7 Profit from ordinary activities

after finance costs but before exceptional items

131.16 122.30 350.49 253.46 1,280.94 1,863.64

8 Exceptional Items (Refer note no. 2) (65.69) (26.61) (30.13) (92.30) 73.20 463.74 9 Profit from ordinary activities

before tax196.85 148.91 380.62 345.76 1,207.74 1,399.90

10 Tax expenses 66.20 50.62 149.84 116.82 417.47 479.74 11 Net Profit 130.65 98.29 230.78 228.94 790.27 920.16

12 Paid up Equity Share Capital (Face Value Rs.10/- per equity share)

1,377.13 1,377.13 826.28 1,377.13 826.28 1,377.13

13 Reserves excluding revaluation reserves (As per Balance sheet of previous accounting year)

3,710.99

14 Earnings per share (Rs.) : Basic 0.95 * 0.71 * 2.79 * 1.66 * 9.56 9.43* Diluted 0.95 * 0.71 * 2.77 * 1.66 * 9.55 9.43*

* - Not annualisedSee accompanying notes to the financial results




PART II (` Crore)

PARTICULARS



31.12.2013(See note 4





30.09.2013[18 Months](Audited)

A PARTICULARS OF SHAREHOLDING

1 Public Shareholding

- Number of shares 84,31,22,015 84,47,78,240 54,39,92,839 84,31,22,015 54,39,92,839 85,08,41,970

-Percentage of shareholding 61.22% 61.34% 65.84% 61.22% 65.84% 61.78%

2 Promoters and Promoter Group Share Holding

a) Pledged/Encumbered

- Number of Shares 53,11,05,441 52,67,84,441 27,87,60,673 53,11,05,441 27,87,60,673 51,96,62,724

- Percentage of Shares (as a % of the total shareholding of promoter and promoter group)

99.46% 98.96% 98.75% 99.46% 98.75% 98.74%

-Percentage of Shares (as a % of the total share capital of the Company)

38.57% 38.25% 33.74% 38.57% 33.74% 37.74%

b) Non- encumbered

- Number of Shares 28,88,139 55,52,914 35,15,845 28,88,139 35,15,845 66,10,901

- Percentage of Shares (as a % of the total shareholding of promoter and promoter group

0.54% 1.04% 1.25% 0.54% 1.25% 1.26%

-Percentage of Shares (as a % of the total share capital of the Company)

0.21% 0.41% 0.42% 0.21% 0.42% 0.48%

B INVESTOR COMPLAINTS

Pending at the beginning of the quarter

0

Received during the quarter 56

Disposed off during the quarter 51

Remaining unresolved at the end of the quarter

5


STATEMENT OF ASSETS AND LIABILITIES(Rs. Crore)

Particulars AS AT 31.3.2014 30.09.2013

I EQUITY AND LIABILITIES

Shareholders' Funds Share Capital 1,377.13 1,377.13 Reserves and Surplus 3,939.93 3,710.99 Sub Total - Share holders' Funds 5,317.06 5,088.12

Non-current Liabilities

Long-term Borrowings 8,431.08 9,085.47 Deferred Tax liabilities (net) 777.79 664.14 Long-term provisions 127.21 194.35 Sub Total - Non Current Liabilities 9,336.08 9,943.96

Current Liabilities

Short-term Borrowings 4,901.72 4,640.71 Trade payables 1,135.93 957.38 Other current liabilities 4,432.60 3,851.25 Short-term provisions 206.19 250.27 Sub Total - current liabilities 10,676.44 9,699.61

ToTal - EquiTy aNd liabiliTiEs 25,329.58 24,731.69

II ASSETS

Non-current Assets

Fixed assets Tangible assets 9,131.06 9,156.90 Intangible assets 22.50 26.53 Capital work-in-progress 153.73 555.13 Non-current Investments 129.15 129.15 Long-term Loans & Advances 1,549.02 1,637.35 Sub Total - Non current assets 10,985.46 11,505.06

Current Assets

Current Investments 2.77 2.73 Inventories 6,025.13 5,726.47 Trade receivables 6,411.09 5,025.96 Cash & Bank Balances 233.37 882.65 Short-term Loans & Advances 1,566.56 1,503.74 Other current assets 105.20 85.08 Sub Total - Current Assets 14,344.12 13,226.63

TOTAL ASSETS 25,329.58 24,731.69

Notes1. Considering the high level of international operations and present internal financial reporting, the Company has identified

geographical segment as its primary segment and business segment as its secondary segment. The company is operating in a single business segment i.e. Textile and as such all business activities revolve around the segment. The geographical segment consists of domestic sales and export sales. Revenue directly attributable to segments is accordingly reported. Since the resources/services/assets are used interchangeably within these segments, it is not practical to allocate segment expenses, assets (except debtors) or liabilities contracted, to these segments. Accordingly, no disclosure relating to the same is made.





PARTICULARS



31.12.2013(See note 4





30.09.2013[18 Months]

(Audited)

Segment Revenue

Domestic 3,146.64 2,714.07 2,991.17 5,860.71 9,880.51 14,808.84 International 743.14 986.17 922.40 1,729.31 3,301.39 5,108.91

3,889.78 3,700.24 3,913.57 7,590.02 13,181.90 19,917.75 sundry debtors

Domestic 6,194.73 4,659.02 5,592.65 6,194.73 5,592.65 4,739.09 International 216.36 260.58 312.56 216.36 312.56 286.87

6,411.09 4,919.60 5,905.21 6,411.09 5,905.21 5,025.96

2. Exceptional items include :

a. Exchange loss/ (gain) arising out of a) restatement of foreign currency liabilities/ assets and b) Mark to market (MTM) losses on foreign exchange derivatives taken by the Company, considering the volatility in the Indian Rupee (INR) against US Dollar (USD) of Rs. (65.69) crores for the quarter [Rs. (26.61) crore for the preceding quarter, Rs. (92.30) crores for Six months ended 31 March 2014 and Rs. 317.39 crore for period ended 30 September 2013, Rs. (74.23) crores for corresponding quarter in previous period and Rs. (69.94) crores for Twelve months ended 31 March 2013 in previous period].

b. Provision for diminution in the value of investments in / loans to subsidiaries in the retail business and loss on transfer of such investments Rs. Nil for the quarter [Rs. Nil for the preceding quarter, Rs. Nil for Six months ended 31 March 2014 and Rs. 146.35 crores for period ended 30 September 2013, Rs. 44.10 crores for corresponding quarter in previous period and Rs. 143.14 crores for Twelve months ended 31 March 2013 in previous period].

3. The above financial results of the Company for the quarter ended 31 March 2014, reviewed and recommended by the Audit Committee, were taken on record by the Board of Directors of the Company at its meeting held on 15 May 2014 and have been reviewed by the Statutory Auditors.

4. The previous financial year of the Company was for a period of 18 months from 1 April 2012 to 30 September 2013. Figures for the period ended 31 March 2013 have been given to comply with the clause 41 requirement to provide “Year to Date (YTD) figures for the previous year” and are for a period of 12 months from 1 April 2012 to 31 March 2013. Hence, such figures are not comparable with the figures for the quarter and YTD upto March 2014, which are for a period of 6 months from 1 October 2013 to 31 March 2014.

5. The classification of loans between current liabilities and non-current liabilities continues based on repayment schedule under respective agreements as no loans have been recalled due to non-compliance of conditions under any of the loan agreements.

6. The figures of previous periods/ year have been reclassified / regrouped wherever necessary to correspond with those of the current period.

By order of the BoardFor ALOK INDUSTRIES LIMITED

Sd/-

DILIP B. JIWRAJKAManaging Director

Place: Mumbai Date: 15 May 2014


Total Sales Q2

31 March 2013

3,913.574,5004,0003,5003,0002,5002,0001,5001,000

3,889.78

31 March 2014

Export Sales Q2

31 March 2013

922.40743.14

31 March 2014

1,000

800

600

400

200

Operating EBIDTA Q2

31 March 2013

975.47824.41

31 March 2014

1,200

1,000

800

600

400

200

0

PAT Q2

31 March 2013

130.65

31 March 2014

250

200

150

100

50

230.78

STANDALONE PROFIT AND LOSS: SECOND QUARTER(` Crore)

PROFIT & LOSS ACCOUNTQ/ENDED31

MAR 2014Q/ENDED31MAR 2013

% Change

% to Sales % to Sales

Domestic Sales 3,146.64

2,991.17

5.20%Export Sales 743.14 922.40 (19.43%)Net Sales 3,889.78 3,913.57 (0.61%)

Other Income 26.00 13.68 90.08%TOTAL INCOME 3,915.78 3,927.25 (0.29%)

Material Costs 2,631.64 67.66% 2,490.93 63.65% 5.65%People Costs 77.46 1.99% 74.94 1.91% 3.36%Other Expenses 382.27 9.83% 385.91 9.86% (0.94%)OPERATING EBIDTA 824.41 21.19% 975.47 24.93% (15.49%)

Depreciation 235.08 6.04% 219.51 5.61% 7.09%OPERATING EBIT 589.33 15.15% 755.96 19.32% (22.04%)

Interest & Finance Costs 458.17 11.78% 405.47 10.36% 13.00%OPERATING PBT 131.16 3.37% 350.49 8.96% (62.58%)

Exceptional Items 65.69 30.13 118.02%PBT 196.85 380.62 (48.28%)

Less: Provision for Taxes 66.20 1.70% 149.84 3.83% (55.82%)PAT 130.65 3.36% 230.78 5.90% (43.39%)

FINANCIALS AT A GLANCE



FINANCIALS AT A GLANCE

Total Sales YTD 6M

31 March 2013

7,434.38

8,0007,9007,8007,7007,6007,5007,4007,300

0

7,590.02

31 March 2014

Export Sales YTD 6M

31 March 2013

1,631.781,729.31

31 March 2014

2,000

1,800

1,600

1,400

1,200

1,000

0

Operating EBIDTA YTD 6M

31 March 2013

1,940.051,638.15

31 March 2014

2,500

2,000

1,500

1,000

500

0

Operating PAT YTD Q3

31 March 2013

470.58228.94

31 March 2014

500

400

300

200

100

0

STANDALONE PROFIT AND LOSS: SIX MONTHS(` Crore)

PROFIT & LOSS ACCOUNT6 M/ENDED31

MAR 20146 M/ENDED31

MAR 2013% Change

% to Sales % to Sales

Domestic Sales 5,860.71

5,802.60

1.00%Export Sales 1,729.31 1631.78 5.98%Net Sales 7,590.02 7,434.38 2.09%

Other Income 44.94 22.73 97.73%TOTAL INCOME 7,634.96 7,457.11 2.39%Material Costs 4,942.35 65.12% 4570.60 61.48% 8.13%People Costs 151.94 2.00% 144.26 1.94% 5.32%Other Expenses 902.523 11.89% 802.20 10.79% 12.51%OPERATING EBIDTA 1,638.15 21.58% 1940.05 26.10% (15.56%)Depreciation 484.29 6.38% 448.12 6.03% 8.07%OPERATING EBIT 1,153.86 15.20% 1491.93 20.07% (22.66%)Interest & Finance Costs 900.40 11.86% 775.99 10.44% 16.09%OPERATING PBT 253.46 3.34% 715.94 9.63% (64.66%)Exceptional Items 92.30 (0.15) -PBT 345.76 715.79 (51.76%)Less: Provision for Taxes 116.82 1.54% 245.21 3.30% (51.32%)PAT 228.94 3.02% 470.58 6.33% (51.99%)


SUMMARY BALANCE SHEET(` Crore)

BALANCE SHEET AS ON 31 MAR 2014 AS ON 30 SEP 2013% CHANGEPREV YEAR

Tangible Net Worth 5,317.06 5,088.12 4.50%Total Non Current Liabilities 9,336.08 9,943.96 (6.11%)Total Current Liabilities 10,676.44 9,699.61 10.07%TOTAL 25,329.58 24,731.69Total Non Current Assets 10,985.46 11,505.06 (4.52%)Total Current Assets 14,344.12 13,226.63 8.45%TOTAL 25,329.58 24,731.69

SUMMARY CASH FLOW(` Crore)

PARTICULARS 6M 18M

31 MAR 2014 30 SEPT 2013NET CASH GENERATED FROM OPERATING ACTIVITIES (94.37) (351.85)NET CASH USED IN INVESTING ACTIVITIES (48.79) (725.18)NET CASH GENERATED FROM FINANCING ACTIVITIES (533.83) 1,264.46 NET FLOW (676.99) 187.43 CASH AND CASH EQUIVALENTSAT THE BEGINNING OF THE PERIOD 729.14 541.71 AT THE END OF THE PERIOD 52.15 729.14 NET INCREASE IN CASH AND CASH EQUIVALENTS (676.99) 187.43

KEY RATIOS

PARTICULARS31-Mar-14(6 Months)(Reviewed)

31-Dec-13(3 Months)(Reviewed)

30-Sept-13(18 Months)

(Audited)

Profitability Ratios

EBITDA (%) 21.58% 21.99% 27.54%Profit Before Tax Margin (%) 3.34% 3.31% 9.36%Profit After Tax Margin (%) 3.02% 2.66% 4.62%Balance Sheet Ratios

Net Total Debt - Equity 2.98 3.07 2.99 Net Total Debt / EBITDA 4.83 4.90 4.16 Current Ratio 1.47 1.93 1.50 Coverage Ratios

PBDIT/Interest 1.82 1.84 2.43 Net Working Capital Turnover days

Debtors Turnover – Days 154 122 138 Inventory Turnover – Days 144 163 158 Gross Working Capital Turnover days 298 285 296

Less: Creditors Turnover – Days 27 31 26 Net Working Capital Turnover days 271 254 270

FINANCIAL POSITION



CAPACITIES Divisions Units Present Capacities Per Annum

SPINNING Tons 80,000 HOME TEXTILES Sheeting Fabric mn mtrs 150Terry Towels Tons 13,400APPAREL FABRIC Woven Fabric mn mtrs 186Knits Tons 25,000GARMENTS mn pcs 22 POLYESTER

Continuous Polymerisation Tons 5,20,000POY/Chips Tons 1,00,000DTY Tons 2,40,000 FDY Tons 70,000 Polyester staple fibre / Cationic Yarn Tons 1,10,000

BOARD OF DIRECTORS

Sr. No. Name Designation

1 Mr. Ashok B. Jiwrajka Executive Chairman

2 Mr. Dilip B. Jiwrajka Managing Director

3 Mr. Surendra B. Jiwrajka Jt. Managing Director

4 Mr. Ashok G. Rajani Independent Director

5 Mrs. Lalita Sharma Director – IDBI Nominee

6 Mrs. Thankom T. Mathew Director – LIC Nominee

7 Mr. Samuel Joseph Director- Exim Bank Nominee

8 Mr. Timothy Ingram Independent Director

9 Mr. Sudhir Garg Director – IFCI Nominee

10 Mr. K.H. Gopal Executive Director & Secretary

11 Mr. Sunil O. Khandelwal Executive Director & CFO

FINANCIAL POSITION


(` Crore)PARTICULARS 31-Mar-14

(6 Months) (Reviewed

30-Sep-13(18 Months)

(Audited )

31-Mar-12 (12 Months)

(Audited )


(Audited)operating Profits Net Sales 7590.02 19917.75 8,900.86 6,388.43(Export Sales) 1729.31 5108.91 (3,029.55) (2,217.43)EBITDA 1638.15 5485.07 2,624.75 1,879.70Depreciation & Misc. Exp. W/off 484.29 1360.77 713.43 518.79PBIT 1153.87 4124.30 1,911.32 1,360.91Interest 900.40 2260.66 1,149.55 736.27PBT (operating) 253.47 1863.64 761.77 624.64Exceptional Items 92.30 463.74 121.27 41.45PAT 228.95 920.16 380.53 404.36Cash Profit 777.68 2896.88 1,334.19 1,083.98Dividend - 48.34 28.81 22.97Net Cash Accruals 777.68 2848.54 1,305.38 1,061.01Financial Position Gross Fixed Assets 13522.47 13469.91 11,840.67 9,920.88Net Fixed Assets 9307.29 9738.56 9,466.25 8,333.76Current Assets 15893.14 14863.98 8,596.31 5,793.77Foreign Currency Translation A/c - - - -Investments 129.15 129.15 175.79 139.93Total Assets 25329.58 24731.69 18,238.36 14,267.46Equity Share Capital 1377.13 1377.13 826.28 787.79 Reserves & Surplus 3939.95 3710.99 2,829.22 2,309.81Share Application Money & Share Warrants - - - -Tangible Net worth 5317.08 5088.12 3,655.50 3,097.60Deferred tax liability 777.79 664.14 626.77 507.66Total Long Term Borrowings 8431.08 9085.47 7,013.06 6,051.40Total Short Term Borrowings 7623.57 7024.84 5,759.16 3,767.80Total Current Liabilities 3180.06 2869.12 1,183.87 843.00Total Liabilities 25329.57 24731.69 18,238.36 14,267.46 EPS (* Not Annualised) 1.66 9.43* 4.69 5.13Book Value 38.61 36.95 44.24 39.32

KEY RATIOSPARTICULARS 31-Mar-14

(6 Months) (Reviewed

30-Sep-13(18 Months)

(Audited)

2011-12 (12 Months)

(Audited)

2010-11 (12 Months)

(Audited)Profitability RatiosEBITDA (%) 21.58% 27.54% 29.49% 29.42%Profit Before Tax Margin (%) 3.34% 9.36% 8.56% 9.78%Profit After Tax Margin (%) 3.02% 4.62% 4.28% 6.33%Return on Capital Employed (%) 10.92% 13.53% 12.63% 11.72%Return on Net worth (%) 8.61% 12.06% 13.88% 13.05%Balance Sheet RatiosNet Total Debt - Equity 2.98 2.99 3.14 2.75Net Total Debt / EBITDA 4.83 4.16 4.37 4.53Current Ratio 1.47 1.50 1.24 1.26Coverage RatiosPBDIT/Interest 1.82 2.43 2.28 2.55Net Fixed Assets/Secured Loans (1st Charge holders) * 1.64 1.43 2.31 2.58Net Working Capital Turnover daysDebtors Turnover - Days 154 138 88 99Inventory Turnover - Days 144 158 139 114Gross Working Capital Turnover - Days 298 296 227 213Less : Creditors Turnover - Days 27 26 21 36Net Working Capital Turnover - Days 271 270 206 177

* Based on market value of Assets

FINANCIAL HIGHLIGHTS FOR LAST 10 YEARS



FINANCIAL HIGHLIGHTS FOR LAST 10 YEARS

(` Crore)31-Mar-10

(12 Months) (Audited)


(Audited)


(Audited)


(Audited)


(Audited)


(Audited)


(Audited)

4,311.17 2,976.93 2,170.41 1,824.68 1,420.70 1,224.50 1,068.85(1,558.99) (1,054.50) (1,036.89) (641.71) (394.55) (306.53) (111.48)

1,272.48 822.61 547.75 410.96 301.26 244.53 198.40362.61 233.50 161.96 123.04 80.48 57.56 38.28909.87 589.11 385.79 287.92 220.78 186.97 158.97535.08 304.12 131.83 89.04 66.78 63.68 66.40374.80 284.99 253.96 198.88 154.00 123.29 92.57

- - - - - - -247.34 188.37 167.73 135.18 109.21 89.25 71.08711.89 513.98 393.14 302.50 189.69 146.81 110.51

22.97 17.28 26.28 28.75 30.20 27.92 11.65688.93 496.70 366.86 273.75 159.49 118.89 98.86

8,215.61 6,692.71 4,368.05 2,954.20 2,121.89 1,047.57 690.847,145.11 5,983.86 3,891.30 2,583.80 1,874.24 879.27 579.534,801.88 2,685.93 3,377.53 1,992.66 1,403.87 1,359.21 846.68

0.17 11.20 - - - - -229.69 478.58 618.96 219.49 39.70 7.85 4.07

12,176.85 9,159.57 7,887.79 4,795.95 3,317.81 2,246.33 1,430.28 787.79 196.97 187.17 170.37 157.47 134.02 88.23

1,928.40 1,410.39 1,134.01 854.07 650.06 460.73 218.00- 147.70 - - - 3.32 21.42

2,716.19 1,755.06 1,431.34 1,024.44 807.53 598.07 327.65406.98 307.97 210.48 141.82 100.10 75.10 50.52

6,436.71 5,120.53 3,904.81 2,258.48 1,742.08 925.85 475.122,072.97 1,475.82 1,862.50 1,078.28 470.42 477.39 426.97

544.00 500.19 478.66 292.93 197.68 169.92 150.0212,176.85 9,159.58 7,887.79 4,795.95 3,317.81 2,246.33 1,430.28

4.57 9.64 11.40 9.70 6.68 7.25 7.9034.48 89.10 76.47 60.13 51.28 44.63 37.14

2009-10 (12 Months)

(Audited)

2008-09 (12 Months)

(Audited)

2007-08 (12 Months)

(Audited)

2006-07 (12 Months)

(Audited)

2005-06 (12 Months)

(Audited)

2004-05 (12 Months)

(Audited)

2003-04 (12 Months)

(Audited)

29.52% 27.63% 25.24% 22.52% 21.21% 19.97% 18.56%8.69% 9.57% 11.70% 10.90% 13.19% 12.80% 11.79%5.74% 6.33% 7.73% 7.41% 9.78% 9.71% 9.43%9.25% 7.36% 6.98% 8.05% 10.22% 14.65% 17.94%9.11% 10.73% 11.72% 13.11% 16.13% 18.28% 30.22%

2.62 3.56 2.86 2.49 2.08 1.52 2.275.59 7.60 7.47 6.21 5.57 3.71 3.751.53 1.22 1.33 1.32 1.82 1.92 1.34

2.38 2.70 4.15 4.62 4.51 3.84 2.992.27 1.89 1.73 1.46 1.56 1.44 1.56

93 108 102 109 91 120 149125 116 116 93 92 108 70218 224 218 202 183 228 219

32 45 67 46 40 41 43186 179 151 156 143 187 176


CAPITAL INFORMATION

EQUITY INFORMATIONParticulars BSE NSE

Equity as on 31 March 2014 1377115595 1377115595Closing Price as on 31 March 2014 6.50 6.5012-Month High Rs. 9.39 Rs. 9.4012-Month Low Rs.5.80 Rs.5.75Market Capitalisation as on 31 March 2014 (Rs. In Crores) 895.13 895.13

SHAREHOLDING PATTERNSHAREHOLDER ENTITIES CURRENT QUARTER PREVIOUS QUARTERPromoters 38.78% 38.66%Banks, Mutual Funds And FIs 9.27% 9.29%FIIs, NRIs And OCB 5.42% 5.22%Other Corporate Bodies and Public 46.53% 46.83%

Total 100.00% 100.00%99.46% of the promoters’ holding have been pledged with FIIs, MFs and other lenders as part of loan conditions. This represents a sum total of 531105441 shares (38.57% of the total equity of the Company)

TOP PUBLIC SHARE HOLDERS AS AT 31 MAR 2014 Sr. No Name of the Shareholders Shares Percentage %

1 Promoters 534045428 38.782 Arum Investments Private Limited 50000000 3.633 Axis Bank Limited 36755857 2.674 Life Insurance Corporation of India 35164136 2.555 IFCI Limited 21440823 1.566 IDBI Bank Limited 17888161 1.307 Goldenlife Financial Services Private Limited 13888360 1.018 Dimensional Emerging Markets Value Fund 10204534 0.749 IL&FS Trust Company Limited A/c IL&FS Private Equity Trust -Leverage India Fund 9955642 0.72

10 MV SCIF MAURITIUS 8064586 0.5911 United India Insurance Company Limited 7610690 0.55

Sub-total 745018217 54.10Other Shareholders 632097378 45.90Total 1377115595 100.00

SHARE PRICE AND VOLUMES

MonthBSE (In Rs. per share) NSE (In Rs. Per share)

High Low Volume High Low VolumeMar-13 9.20 7.52 2,91,19,634 9.25 7.50 95023310Apr-13 10.50 8.20 4,84,67,690 10.50 8.25 130817603May-13 9.80 7.75 4,44,31,138 9.80 7.70 173464713Jun-13 8.25 6.65 5,73,26,120 8.20 6.70 167134247Jul-13 7.31 6.05 4,22,13,976 7.35 6.00 158844618Aug-13 7.34 5.87 2,57,07,605 7.35 5.85 99881012Sep-13 8.25 6.17 1,92,47,855 8.25 6.15 52813494Oct-13 8.50 7.81 1,39,04,421 8.50 7.50 50545435Nov-13 8.45 7.45 1,96,11,086 8.45 7.45 60660242Dec-13 9.39 7.26 1,74,63,011 9.15 7.25 68756813Jan-14 8.90 6.70 1,32,94,730 8.90 6.65 53715173Feb-14 7.10 6.35 66,30,899 7.10 6.35 34853139Mar-14 7.29 5.80 3,34,64,507 7.30 5.75 68269722

SHARE PERFORMANCE VIS-A-VIS STOCK MARKET INDICES

Note: Share prices and indices indexed to 100 as on 1 October 2013



ECONOMIC OVERVIEW

THE GLOBAL ECONOMY

Global growth is expected to increase this year says the IMF’s latest World Economic Outlook (WEO) Update of April 2014. Compared to their previous update of Jan 2014, barring Japan , there has been no change in projections for most advanced economies . However for Emerging Markets and Developing Economies, barring India and China, there has been a marginal drop in Projections Overall, the IMF forecasts global output growth to average 3.6 percent in 2014 and then increase to 3.9 percent in 2015 ( against a reference baseline of 3.0 percent in 2013) still holds good.

Sources: IMF, WEO Projections

A major impulse to global growth has come fromthe United States, whose economy grew at slightly more than 3 percent in the second half of 2013. In the euro area, growth has turned positive. InGermany, supportive monetary conditions, robustlabor market conditions, and improving confidencehave created a platform for a pickup in domestic demand. This is reflected not only in higher consumption and a tentativerevival in investment but also in housing. In emerging market and developing economies, growthpicked up slightly in the second half of 2013.On one hand, export growth increased,lifted by stronger activity in advanced economies andby currency depreciation. On theother hand, investment weakness continued, and externalfunding and domestic financial conditions increasinglytightened.


INDIA

The Indian economy had been be suffering from lower growth and various structural weaknesses as it entered 2013-14 and these continued throughout the fiscal year. Real GDP growth for 2013-14 is estimated to be 4.9% with industrial growth slipping to a paltry 0.7%.

Incremental Gross Fixed Capital Formation (GFCF) at market price,has also reduced to a mere 0.2% in 2013-14.

By the end of 2013-14, there have been some positive signals, although it is probably too early to make a call as to whether the nation is definitely getting back to a higher growth path. For one, headline producer price inflation in terms of the Wholesale Price Index (WPI) moderated to 5.9% in March 2014. While consumer price index (CPI) inflation reduced to a 25-month low, posting at 8.1% in February 2013, it still remained high by any long term yardstick

The current account deficit as a ratio to GDP has narrowed significantly. Since September 2013 there has been a surge in foreign capital inflows into India, and India’s foreign exchange reserves reached US$ 298.6 billion by the end of March 2014,which was an accretion of US$ 23.1 billion over end-August 2013.

Sources: MOSPI (Govt of India) and RBI

Trade Balance

The trade deficit for April-March, 2013-14 was estimated at US $ 138593.59 million which was lower than the deficit ofUS $190335.97 million during April-March, 2012-13.

Source: March 2014 Monthly Economic Bulletin, published by ITP Divn, Ministry of External Affairs, Govt. of India

10%8%6%4%2%0%

8.6% 8.9%6.7%

4.5% 4.9%

Real GDP Growth, India

20

09

-10

20

10

-11

20

11

-12

20

12

-13

20

13

-14

ECONOMIC OVERVIEW



THE TEXTILE INDUSTRY

GlobalGlobal - In comparison to the previous quarter world yarn output dropped in Q4/2013 by -15.4% due to lower output in Asia (-16.1%), South America (-14.7%) as well as in North America (-6.7%) and despite an increase in Europe (+4.6%). In comparison to Q4/2012 global yarn production rose by +8.7% as a result of higher production levels in Asia (+9.6%), North America (+5.0%), Europe (+0.7%) irrespective of a decline in South America (-6.7%). Estimates for yarn production for Q1/2014 are positive in Asia, Europe, North and South America.The outlook for yarn production for Q2/2014 is unchanged in all regionsCompared with the previous quarter global fabric production rose in Q4/2013 by +4.3% with Europe and Asia recording higher outputs of +6.4% and +5.6%, respectively, while South America’s production fell by -15.3%. Year-on-year global fabric production was up as well (+3.5%) with Asia recording a production jump of +5.4% and Europe of +2.0%, while South America recorded a slump of -19.8%. Estimates for fabric production for Q1/2014 are positive in Europe and South America, unchanged in Asia and negative in North America. The outlook for fabric production for Q2/2014 is positive in Asia and unchanged in Europe and South America.

Source: International Textile Manufacturers Federation (ITMF)

IndiaMan-made fibre production recorded an increase of about 5% and filament yarn production recorded a increase of about 10% during Mar. 2014. Man-made fibre production recorded a increase of 4% and filament yarn a decrease of about 5% during the year 2013-14Cotton yarn production increased by 1% during Mar. 2014 and by 10% during the year 2013-14. Blended and 100% non-cotton yarn production decreased by 5% during Mar. 2014 and increased by 7% during the year 2013-14Cloth production by mill sector increased by 5% during Mar. 2014 and increased by 6% during the year 2013-14. Cloth production by powerloom sector increased by 6% and handloom, hosiery sectors production decreased by 6% and 4% respectively during Mar. 2014. During the year 2013-14, production by handloom, hosiery sectors increased by 2% and 10%, powerloom sectors decreased by 1%,. The total cloth production increased by 2% during Mar. 2014 and increased by 2% during the year 2013-14The prices of Cotton Hank Yarn increased by 9.5% & and Cone yarn decreased by 3.1% and Hosiery Yarn increased by 11.3% in Apr.2014 in comparison to the prices of Apr.2013.The current prices of PSF increased by 4.4% and PFY(126)D increased by 3.8% as compared to the prices of Apr.13.The prices of Texturised yarn increased by 8.8% as compared to Apr. 2013

India’s Textile Exports to the USA

Overall, in FY 2013-14 India’s exports to the USA grew at 8.6% which is certainly a significant improvement over a negative growth of 1.9% in 2012-13

(All figures in million USD)

Growth in Indian Exports to the USA

12 months ending March

2012 2013 change % 2013 2014 Change %

Apparel 3266 2985 -8.6 2985 3292 10.3

Madeups 2330 2525 8.4 2525 2708 7.2

Fabrics 319 298 -6.6 298 308 3.4

Yarn 95 89 -6.3 89 99 11.2

Total 6010 5897 -1.9 5897 6407 8.6

Sources: Textile Ministry

INDUSTRY OVERVIEW


PRESS RELEASE

Editors synopsis

For the Quarter ended March 31, 2014:

• Net Total Sales stood at Rs. 3,889.78 crore• Exports stood at Rs. 743.14 crore• Operating EBIDTA stood at Rs. 824.41 crore• PAT stood at Rs. 130.65 crore

For the Six Month period ended March 31, 2014:

• Net Total sales stood at 7,590.02 crores• Export sales stood at Rs. 1,729.31 crore• Operating EBIDTA stood at Rs. 1,638.15 crore • PAT stood at Rs. 228.94 crore

Mumbai, 15 May 2014: Alok Industries Limited, one of the leading integrated textile companies in India, reported total net sales of Rs. 3,889.78 crore (exports of Rs. 743.14 crore) for the quarter ended March 31, 2014, as compared to Rs. 3,913.57 crore (exports of Rs. 922.40 crore) in the corresponding period of the last fiscal, which reduced marginally by 0.61%. The operating EBIDTA for the quarter was at Rs. 824.41 crores. The net profit after tax stood at Rs. 130.65 crore.

Total Net Sales for the Six months ended 31 March, 2014 was at Rs. 7,590.02 crore with exports of Rs. 1,729.31 crores. Operating EBITDA was Rs. 1,638.15 crores. Operating PBT stood Rs. 253.46 crores and the net profit after tax for the six months period ended 31 March, 2014 stood at Rs. 228.94 crore.

Management Comment

Commenting on the results, Mr Surendra Jiwrajka, Jt. Managing Director said, "We are encouraged by the results of the second quarter of the current fiscal given the prevailing economic scenario. Our sale recorded a marginal growth of 2.09% in the first six months over the previous corresponding six months ended March 31, 2013. Our exports grew about 6% over the six month period ending March 31 2013.

The domestic markets continue to experience a liquidity squeeze resulting in our debtors position getting stretched. We believe that this is a temporary situation and ease out gradually in the months to come. We are also looking at increasing our exports gradually. We continue to devote our energies in monetizing our real estate and retail assets and reduce our debt. We are also focussing on streamlining operations, reducing costs and enhancing margins."

About Alok Industries Limited:

(BSE Code: 521070) (NSE Code: ALOKTEXT) (Reuters Code: ALOK.BO) (Bloomberg Code: ALOK@IN)

Established in 1986, Alok Industries Ltd. is amongst the fastest growing vertically integrated textiles solutions provider in India. A diversified manufacturer of world-class home textiles, apparel fabrics, garments and polyester yarns, Alok has capacities of 80,000 tons of cotton spinning, 150 mn meters of sheeting fabric and 13,400 tons of terry towels for its home textiles business, 186.00 mn meters of apparel width woven fabrics, 25000 tons per annum of knitted fabrics and 22 million pieces per annum of garments. The company also has a strong presence in the polyester segment with a capacity of 2,40,000 tons per annum of polyester textured yarn (DTY), FDY of 70,000 tons per annum, polyester fibre / cationic yarn of 1,10,000 tons per annum supplemented by 1,00,000 tons per annum of POY and Chips. The company has a blue chip international customer base comprising of world renowned retailers, importers and brands.

For More Information Please Contact:

Mr. Sunil O. KhandelwalExecutive Director & CFOAlok Industries LtdTel: 022-6178 7000Email: [email protected]

Mr. Siddharth Kumar/Mr. Ankur ParikhAdfactors PR, MumbaiCell : 9833933447/[email protected]@adfactorspr.com

Peninsula Business Park,Tower B , 2nd & 3rd Floor ,G.K.Marg,

Lower Parel, Mumbai - 400 013Tel No. +91 61787000 Fax: +91-22 61787118

Email - [email protected] us at: www.alokind.com

INNOVATIVE TEXTILE SOLUTIONS PERFORMANCE ... - Alok …A(np... · INNOV ATIVE TEXTILE SOLUTIONS Innovative Textile Solutions 1 PERFORMANCE HIGHLIGHTS BUSINESS HIGHLIGHTS: FOR THE

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