28 Jul 2008 13:24
RNS Number : 0210A
Tata Tea Limited
28 July 2008
| Tata Tea Limited Registered Office: 1 Bishop Lefroy Road, Kolkata – 700020 Audited Financial Results For the three months ended June 30, 2008 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Notes:
1. Income from operations for the quarter at Rs 31497 lakhs grew by 12% over the corresponding quarter of the previous year driven by strong branded tea performance.
2. The Profit before Tax and exceptional items at Rs 5675 lakhs improved by 3% over the corresponding quarter of the previous year despite hardening of commodity prices and inflation led increase in other input costs compared to the previous period. However the Profit before Tax at Rs. 5455 lakhs and the Profit after Tax at Rs. 3771 lakhs are lower compared to the corresponding quarter of the previous year mainly due to exceptional income included in the previous year and higher effective tax rate in the current year.
3. Exceptional items during the period represent amortization of amounts incurred on Employee Separation Scheme (ESS) of Rs 220 lakhs whereas in the corresponding quarter of the previous year it included profit on sale of land/assets in South India of Rs 305 lakhs net of amortisation of amounts incurred on ESS of Rs 220 lakhs.
4. The North India Plantation Division (NIPD) of the company was transferred to Amalgamated Plantations Private Limited (APPL) with effect from the appointed date of April 1, 2007 as per Court order dated 9th April 2008. Subsequently, on 15th May 2008, an appeal had been filed by the Regional Director, Ministry of Corporate Affairs, Calcutta against the above referred order, before the Division Bench of Hon’ble High Court at Calcutta. On 16th June 2008 the Division Bench dismissed the appeal.
5. Particulars of complaints received from the investors during the quarter, complaints resolved and those pending are as follows:
| Particulars of Complaints | Numbers |
| Outstanding as on April 1, 2008 Received during the quarter Resolved during the quarter Outstanding as on June 30, 2008 | Nil 2 2 Nil |
6. Previous period’s figures have been rearranged to the extent necessary, to conform to the current period’s figures. In particular, the comparative figures for the quarter ended June 30, 2007 have been restated to exclude NIPD and certain related adjustments effected to make them comparable with the current quarter.
7. The aforementioned results were reviewed by the Audit Committee of the Board on July 24, 2008 and subsequently taken on record by the Board of Directors at its Meeting held on July 28, 2008. The statutory auditors of the company have audited these results.
Ratan N Tata
Mumbai: July 28, 2008 (Chairman)
| Unaudited Consolidated Financial Results for the three months ended June 30, 2008 Rs in Lakhs
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Notes:
1. The consolidated income from Operations for the quarter at Rs. 113469 lakhs grew by 12% over the corresponding quarter of the previous year, driven by strong brand performance across all key markets.
2. The consolidated Profit before Tax at Rs. 12943 lakhs and the Profit after Tax at Rs. 8539 lakhs are higher by 108% and 75% respectively compared to the corresponding quarter of the previous year mainly due to lower interest cost. The operating profit has been impacted by increases in commodity prices and other input cost and higher level of advertisement expenditure during the quarter.
3. Exceptional income in the current period represents write back of provision for reorganization costs offset by amortization of amounts incurred on Employee Separation Schemes. In the corresponding quarter of the previous year, Exceptional expenditure mainly consisted of amortization of amounts incurred on Employee Separation Schemes and reorganization costs partially offset by profit on sale of land/assets. For the year ended March 31, 2008, exceptional items mainly relate to profit on sale of investments in Energy Brands Inc (EBI) and profit on transfer of North India Plantation Division.
4. The North India Plantation Division (NIPD) of the company was transferred to Amalgamated Plantations Private Limited (APPL) with effect from the appointed date of April 1, 2007 as per Court order dated 9th April 2008. Subsequently on 15th May 2008, an appeal had been filed by the Regional Director, Ministry of Corporate Affairs, Calcutta against the above referred order, before the Division Bench of Hon’ble High Court at Calcutta. On 16th June 2008 the Division Bench dismissed the appeal.
5. During the quarter, consequent to the conversion of the Loan Notes held by the holding Company in the Tetley Group into equity shares, the percentage holding in the Tetley Group has increased from 77.78% to 78.79%.
6. During the quarter, Tata Coffee Limited (a 57.48% subsidiary of the holding company) has acquired 3000 shares of USD 1 each of M/s Kahutara Holdings Limited, Cyprus, and consequently, the said Company has become a wholly owned subsidiary of Tata Coffee Limited with effect from May 27, 2008.
7. The share of profit/(loss) in Estate Management Services Limited, Sri Lanka and Amalgamated Plantations Private Limited, both associate companies, have not been included in the results of the quarter, as the same are not yet available. This is, however, not estimated to have a material impact on the results of the Group for the quarter.
8. Previous period’s figures have been rearranged to the extent necessary, to conform to the current period’s figures. In particular, the comparative figures for the quarter ended June 30, 2007 have been restated to exclude NIPD and certain related adjustments effected to make them comparable with the current quarter.
9. The major part of the Company’s business arises from operations outside India and through its subsidiaries. In view of this the company has opted to publish only consolidated results for this financial year as permitted under SEBI guidelines. The standalone results shall be available in the Company’s website as well as in the website of the stock exchanges where the Company’s shares are listed. The Turnover, Net Profit after Tax and Earnings per share of the Company’s standalone financial results are given below:
| Rs. Lakhs | Quarter Ended 30th June 2008 | Quarter Ended 30th June 2007 |
| Income from Operations | 31497 | 28061 |
| Profit after Tax | 3771 | 4123 |
| Earnings per Share - Rs | 6.10 | 6.77 |
10. The aforementioned results were reviewed by the Audit Committee of the Board on July 24, 2008 and subsequently taken on record by the Board of Directors at its Meeting held on July 28, 2008. Limited review of the results has been completed by the auditors.
Ratan N Tata
Mumbai: July 28, 2008 (Chairman)
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| Unaudited Consolidated Segment wise Revenue, Results and Capital Employed, under | | | | |||||||||
| Clause 41, of the Listing Agreement for the Quarter ended June 30, 2008 | | | | |||||||||
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| | | | (Rs. In Lakhs) | | | | ||||||
| | Particulars | 3 months ended June 30th 2008 | Previous year ended March 31st 2008 | | | | ||||||
| 1. | Segment Revenue | | | | | | ||||||
| | (a) Tea | 87838 | 343238 | | | | ||||||
| | (b) Coffee & Other Produce | 24352 | 92930 | | | | ||||||
| | (c) Others | 1218 | 3229 | | | | ||||||
| | (d) Unallocated | 799 | 3804 | | | | ||||||
| Total | 114207 | 443201 | | | | |||||||
| Less : Inter Segment Revenue | - | - | | | | |||||||
| Total Revenue | 114207 | 443201 | | | | |||||||
| 2. | Segment Results | | | | | | ||||||
| | (a) Tea | 12406 | 52773 | | | | ||||||
| | (b) Coffee & Other Produce | 2694 | 13536 | | | | ||||||
| | (c) Others | (395) | (279) | | | | ||||||
| Total | 14705 | 66030 | | | | |||||||
| Add/(Less) | | | | | | |||||||
| i) Interest | 169 | (6087) | | | | |||||||
| | ii) Interest on loans for acquisition | (1259) | (16050) | | | | ||||||
| | iii) Exchange gain | - | 5618 | | | | ||||||
| iv) Other Un-allocable Income net of Un-allocable Expenditure | (672) | 156416 | | | | |||||||
| Total Profit before Tax | 12943 | 205927 | | | | |||||||
| 3. | Capital Employed | | | | | | ||||||
| | (a) Tea | 285033 | 264895 | | | | ||||||
| | (b) Coffee & Other Produce | 129404 | 122117 | | | | ||||||
| | (c) Others | 3204 | 3025 | | | | ||||||
| | (d) Unallocated | 59929 | 56297 | | | | ||||||
| Total | 477570 | 446334 | | | | |||||||
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| Notes: | | | | | ||||
| a. Business Segments: The internal business segmentation and the activities encompassed therein are as follows: | | |||||||
| Tea : Cultivation & manufacture of black tea and instant tea, tea buying/ blending and sale of tea in bulk or value added form. | | |||||||
| Coffee and Other Produce : Growing and sales of coffee, pepper and other plantation crops and sales of coffee converted into value added | ||||||||
| products such as roast and ground coffee & instant coffee. | | | | | ||||
| Others : Sale of natural Mineral Water , other minor crops and curing operations of coffee and trading of items required for coffee plantations. | ||||||||
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| b. The segment wise revenue, results, capital employed figures relate to the respective amounts directly identifiable to each | | |||||||
| of the segments. Unallocable expenditure include expenses incurred on common services at the corporate level and includes | | |||||||
| Exceptional items. Unallocable income includes income from investments. | | | | |||||
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| c. Comparative quarterly figures for previous period have not been given as segment results are being reported, as required under the | | |||||||
| clause 41 of the listing agreement, with effect from second Quarter of the Previous Year | | | ||||||
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| | | | Ratan N. Tata | | ||||
| | | | (Chairman) | | ||||
| Mumbai, July 28, 2008 | | | | | ||||
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