Welspun-Gujarat Stahl Q4 earnings soar 2.46 times

[B. KARTHICK]

Welspun-Gujarat Stahl Rohren disclosed a phenomenal rise in standalone
net profit for the quarter ended March 2008 but below the analysts`
expectation.

During the quarter, the profit of the company zoomed 2.46 times to Rs
1,022 million from Rs 415 million in the same quarter last year. The
analysts` polled by Bloomberg had estimated earnings of Rs 1,229
million.

The company posted earnings of Rs 5.95 a share during the quarter,
registering 95.08% growth over prior year period. The analysts` had
predicted earnings of Rs 6.9 a share.

Net sales for the quarter surged 68.59% over previous year period to
Rs 12,275 million, while the analysts` had estimated net sales at Rs
13,171 million. Total income for the quarter jumped 69.37% to Rs
12,383 million compared with the prior year period.


Quarterly Results - Standalone (Rs in mn)
As at Mar - 08 Mar - 07 %Change
Net Sales 12275.00 7281.00 68.59
Net Profit 1022.00 415.00 146.27
Basic EPS 5.95 3.05 95.08


Dividend
The board of directors has recommended dividend of 30% or Rs 1.50 a
share of face value of Rs 5 each