Greenply - Bumper Q2 Performance

Greenply Industries Q2 Net Soars

Greenply Industries, a Rs 4.7 billion-worth manufacturer of plywood and laminates, on standalone basis, posted a 2.35 times jump in net profit to Rs 111.86 million, for the quarter ended September 2007, as compared with Rs 47.54 million for the same quarter, last fiscal.

Net sales for the quarter increased 27.41% to Rs 1,356.32 million, compared with Rs 1,064.47 million during the corresponding quarter, previous year.

Total income for the quarter also rose 29.08% to Rs 1,379.28 million, compared with Rs 1,068.50 million during the same quarter, a year ago. The diluted earnings per share (EPS) for the September 2007 quarter stood at Rs 6.58.

``We are in sync with our annual target and based on our current growth performance I am confident that we are in the right direction in garnering a larger chunk of the market share,`` as per the company`s spokesperson.

Greenply - Green Is The Colour Of Money

Greenply Industries Q1 Net Profit Up 101%

Strong sales growth across its product categories of plywood, laminate and decorative veneer helped India’s largest interior infrastructure manufacturer Greenply Industries Limited (GIL) report a revenue of Rs 116 crore for the quarter ended June 30, 2007, representing a growth of 37% over the corresponding period last year. The company had posted a revenue of Rs 84.60 crore for the quarter ended June 30, 2006.

Against a net profit of Rs 4.51 crore for the quarter ended June 30, 2006, the company has posted a net profit of Rs 9.07 crore during Q1 2007-08; a growth of 101%.

According to GIL Joint Managing Director Saurabh Mittal, a combination of higher capacity utilisations, rupee appreciation resulting into reduced raw material cost, benefits of excise reduction, improved product mix and visibility and buoyancy in the market had led to the improved margins.

“Greenply”, he added, “has a range of products that has given us the status of a one-stop manufacturer of all products related interior infrastructure from plywood & boards, flush doors, decorative veneers, decorative laminates to pre lam MDF and particleboard.”

GIL accounts for 25 per cent of organized plywood and 15 per cent of organized laminate market.

Greenply Industries has recently begun commercial production at its Behror plant in Rajasthan after completing its expansion project. The capacity of the Behror plant is now at 53.40 lakh sheets from the earlier 39.60 lakh sheets, making Greenly India’s largest laminate producer. The plant was originally scheduled to commence commercial production in August.

Greenply had put in an investment of Rs 40 crore to set up of a fourth production line at Behror. The expansion was undertaken to meet the growing demand for decorative laminates in India and abroad.

Greenply - Q3 Net Profit Rise 76.28%

Greenply - An Interior Infrastructure Company

Greenply Industries reported a 76.28 % rise in net profit at Rs 6.54 crore for the third quarter (Q3) ended December 31, 2006, compared to a Rs 3.71 crore net in the corresponding quarter previous year. The profit follows a 47.31 % growth in gross sales revenue during the October-December quarter at Rs 119.21 crore (Rs 80.92 crore).

A company with interests in branded plywood and laminate industry, Greenply Industries attributed the bottom line growth to increase in operating margins. Greenply’s product categories of plywood, laminate, decorative veneer and particleboard’s too clocked growth in sales.

This apart, “our marketing initiatives and introduction of newer products helped achieve a price growth of almost 15% in our decorative veneer category. We also witnessed overall growth across all product categories and good capacity utilisation from Nagaland, Kolkata and Behror (Rajasthan) units resulting in improved margins,” Mr Saurabh Mittal, joint managing director & CEO, Greenply Industries, said in a media statement issued after the board meeting held in Kolkata on Monday.

“Greenply’s range of products has given it the status of a one-stop manufacturer of all products related interior infrastructure from plywood & boards, flush doors, decorative veneers, decorative laminates to pre lam MDF and particleboard,” Mr Mittal added.

Interest outgo in Q3 under review was Rs 3.90 crore against Rs 2.20 crore in the previous corresponding quarter. Depreciation costs stood at Rs 2.37 crore in the period under review compared to Rs 1.49 crore in the corresponding previous quarter. Profit before tax in the quarter under review was Rs 8.06 crore (Rs 4.24 crore).

The company’s Pant Nagar plant in Uttaranchal with an installed capacity to produce 6.60 million square metres of plywood and 1.82 million square metres of particleboard commenced production. With the Uttaranchal unit going on stream, the company’s total plywood capacity stands enhanced to 17.10 million square metres.

Greenply Industries is in the process of expanding its existing laminates production capacity of the Rajasthan unit from 39.60 lakh sheets to 53.40 lakh sheets per annum. Total outlay for the proposed expansion is estimated at Rs 40 crore and entails setting up of a fourth production line.

Greenply - Carbon Credits To Boost Topline

Greenply Industries Signs Carbon Emission Purchase Agreement.

Greenply Industries Ltd has informed BSE that the Company has signed the Carbon Emission Purchase Agreement with a private investment fund. The deal, worth around $5 million, which has been signed under the Clean Development Mechanism of the Kyoto Protocol, facilitated by Aeneas Capital Management. The agreement for delivery of Certified Emission Reductions (CERs) is valid till 2012, where CERs shall be delivered every year, starting FY 2006—07.

The estimated revenue that will be added to the Company's topline every year shall be around EURO 500000. Under the agreement, the Company, India's largest interior infrastructure Company, will sell its emission reduction credits, created by burning bio mass at two of its plants. These plants will be using biomass for generation of steam. The normal practice, followed by players in the interior infrastructure space, is to use coal/firewood/waste timber/fossil fuel, which is environmentally hazardous.

Carbon credits, unlike paper money that trades for physical goods and services, are a new money exchange intended to reduce pollution, particularly emissions of carbon dioxide that is caused by burning fossil fuel/coal. Carbon emissions are said to be the leading cause of global climate change.