Aban Offshore reported 5% increase in consolidated net profits for Q2FY'12 at Rs 79.25 crore compared to Rs 75.16 crore in Q2FY'11 while topline fell 8% to Rs 762.57 crore. OPM was down 700 bps to 60.2% mainly due to rise in other expenses and insurance expenses. Operating profit as a result fell 18% to Rs 458.53 crore. Other income spurted 427% to Rs 12.64 crore while interest expense fell 4% to Rs 229.93 crore. Depreciation was up 9% to Rs 133.66 crore. PBT before EO was down 45% to Rs 107.89 crore. The company had an EO expenditure in Q2FY'11 amounting Rs 13.94 crore related to provision for diminution in the value of equity investments by a foreign subsidiary in a Norwegian company. PBT after EO fell 40% to Rs 107.89 crore. Considering taxes and share of losses in Associates net profit was up 5% to Rs 79.25 crore.
Poor consolidated performance was aided by losses at standalone numbers. On an standalone basis Net profit reported loss of Rs 67.12 crore compared to profit of Rs 81.35 crore in Q2FY'11 while topline of the company fell drastically by 57% to Rs 132.97 crore. OPM plunged to 31.8% from 71.3%. As a result standalone operating profits fell 81% to Rs 42.25 crore.
Consolidated Quarterly Results
The sales for the quarter ended September 2011 fell 8% to Rs 762.57 crore. The operating profit margin (OPM) declined 700 basis points to 60.2%. As a result operating profits fell by 18% to Rs 458.83 crore.
Consumption of stores, spares and fuel as a proportion of net sales remained flat at 3.3%, Rental charges for machinery decreased by 40 bps to 1.1% while Staff cost rose by 80 bps to 11.3%. Insurance premium rose 300 bps to 4.7% while other expenses rose sharply by 510 bps to 18.8%.
Other income rose 427% during the quarter to Rs 12.64 crore compared to Rs 2.40 crore in the corresponding previous year quarter. Interest cost decreased 4% to Rs 229.93 crore and depreciation rose by 9% to Rs 133.66 crore. PBT before EO during the quarter was down 45% to Rs 107.89 crore.
The company had nil EO expenditure in the current quarter compared to an EO expenditure of Rs 13.94 crore in the corresponding previous year quarter on account of further provision for diminution in the value of equity investments by a foreign subsidiary in a Norwegian company.
PBT after EO fell 40% to Rs 107.89 crore. Considering tax provisions and share of profits in JV interests the PAT stood at Rs 79.25 crore up by 5%.
Consolidated Half Year ended Results
The sales for the half year ended September 2011 fell 11% to Rs 1493.90 crore. The operating profit margin (OPM) fell 300 basis points to 61.4%. As a result operating profits decreased 15% to Rs 917.70 crore.
Consumption of stores, spares and fuel as a proportion of net sales decreased by 10 bps to 3.5%, Rental charges for machinery decreased remained flat at 1.5% and Staff cost rose by 40 bps to 10.9%. Insurance premium rose 280 bps to 4.4%, repairs and maintenance fell 70 bps to 1.0% and other expenses increased 60 bps to 17.3%.
Other income fell 23% to Rs 12.88 crore. Interest cost decreased 5% to Rs 445.55 crore and depreciation rose by 2% to Rs 256.80 crore. PBT before EO was down 39% to Rs 227.23 crore.
The company had nil EO expenditure during H1FY'12 compared to an EO expenditure of Rs 363.50 crore comprising of Rs 27.63 crore on account of further provision for diminution in the value of equity investments by a foreign subsidiary in a Norwegian company and Rs 335.86 crore on account of total loss of rig Aban Pearl (net of insurance claim received) which was reported sunk on 13 th May 2010
Considering tax provisions the PAT reported was Rs 167.85 crore compared to loss of Rs 68.73 crore during the period.
The scrip is currently at Rs 425 at BSE.
Aban offshore: Consolidated Results
| Particulars | 1109 (3) | 1009 (3) | Var. (%) | 1109 (6) | 1009 (6) | Var. (%) | 1103 (12) | 1003 (12) | Var. (%) |
| Sales | 762.57 | 828.05 | -8 | 1493.90 | 1670.53 | -11 | 3347.22 | 3358.66 | 0 |
| OPM (%) | 60.2 | 67.2 | | 61.4 | 64.4 | | 63.0 | 59.0 | |
| OP | 458.83 | 556.29 | -18 | 917.70 | 1076.50 | -15 | 2108.58 | 1980.12 | 6 |
| Other income | 12.64 | 2.40 | 427 | 12.88 | 16.68 | -23 | 25.98 | 21.81 | 19 |
| PBIDT | 471.47 | 558.69 | -16 | 930.58 | 1093.18 | -15 | 2134.56 | 2001.93 | 7 |
| Interest | 229.93 | 240.62 | -4 | 446.55 | 467.78 | -5 | 923.77 | 976.82 | -5 |
| PBDT | 241.55 | 318.07 | -24 | 484.03 | 625.40 | -23 | 1210.80 | 1025.11 | 18 |
| Depreciation | 133.66 | 123.02 | 9 | 256.80 | 252.09 | 2 | 490.71 | 461.56 | 6 |
| PBT before EO | 107.89 | 195.05 | -45 | 227.23 | 373.31 | -39 | 720.08 | 563.55 | 28 |
| EO | 0.00 | 13.94 | -100 | 0.00 | 363.50 | -100 | 388.59 | 120.52 | 222 |
| PBT after EO | 107.89 | 181.11 | -40 | 227.23 | 9.81 | 2216 | 331.49 | 443.04 | -25 |
| Current Tax | 32.90 | 79.54 | -59 | 64.69 | 150.78 | -57 | 267.46 | 265.06 | 1 |
| Deferred Tax | -4.26 | -3.79 | | -5.30 | -7.25 | | -14.37 | -7.99 | |
| PAT | 79.25 | 105.36 | -25 | 167.85 | -133.72 | LP | 78.40 | 185.96 | -58 |
| Share of profit in JV | 0.00 | -30.20 | -100 | 0.00 | 64.99 | -100 | 66.54 | 125.04 | -47 |
| Net profit | 79.25 | 75.16 | 5 | 167.85 | -68.73 | LP | 144.95 | 311.00 | -53 |
| EPS | 72.8 | 81.9 | | 77.1 | | | 122.6 | 99.2 | |
* Annualised on current equity of Rs 8.7033 crore.
Face Value: Rs 2
Var. (%) exceeding 999 has been truncated to 999
LP: Loss to Profit PL: Profit to Loss
EO: Extraordinary items
EPS is calculated after excluding EO and relevant tax
Figures in Rs crore
Source: Capitaline Corporate Database |
Aban offshore: Standalone Results
| Particulars | 1109 (3) | 1009 (3) | Var. (%) | 1109 (6) | 1009 (6) | Var. (%) | 1103 (12) | 1003 (12) | Var. (%) |
| Sales | 132.97 | 311.25 | -57 | 298.52 | 622.06 | -52 | 1190.74 | 1182.00 | 1 |
| OPM (%) | 31.8 | 71.3 | -39.5 | 38.7 | 68.1 | | 60.7 | 58.9 | |
| OP | 42.25 | 222.07 | -81 | 115.52 | 423.89 | -73 | 722.47 | 695.89 | 4 |
| Other income | 2.85 | 17.54 | -84 | 18.60 | 35.79 | -48 | 76.57 | 181.83 | -58 |
| PBIDT | 45.10 | 239.61 | -81 | 134.13 | 459.68 | -71 | 799.04 | 877.72 | -9 |
| Interest | 86.77 | 83.41 | 4 | 168.01 | 166.33 | 1 | 328.66 | 337.14 | -3 |
| PBDT | -41.67 | 156.20 | PL | -33.89 | 293.34 | PL | 470.39 | 540.58 | -13 |
| Depreciation | 29.71 | 29.64 | 0 | 59.20 | 59.20 | 0 | 114.81 | 109.12 | 5 |
| PBT before EO | -71.38 | 126.56 | PL | -93.08 | 234.14 | PL | 355.58 | 431.46 | -18 |
| Current Tax | 0.00 | 49.00 | -100 | 1.00 | 89.00 | -99 | 136.00 | 159.00 | -14 |
| Deferred Tax | -4.26 | -3.79 | | -5.31 | -7.25 | | -14.37 | -7.98 | |
| PAT | -67.12 | 81.35 | PL | -88.78 | 152.39 | PL | 233.95 | 280.44 | -17 |
| EPS | | 74.8 | | | 70.0 | | 53.8 | 64.4 | |
* Annualised on current equity of Rs 8.7033 crore.
Face Value: Rs 2
Var. (%) exceeding 999 has been truncated to 999
LP: Loss to Profit PL: Profit to Loss
EO: Extraordinary items
Figures in Rs crore
Source: Capitaline Corporate Database |