Atul Ltd 2008-09

| Annual Report 2008-09 25 Enhanced exports during the year resulted in increased revenues from export incentives by 54% to Rs16 crores. The operating income, which also includes processing charges and miscellaneous scrap sales, increased by 1% to Rs6 crores. Other income, which contributed 1% of the total income, decreased by 35% over the previous year. Other income mainly comprised of dividend and interest income which are recurring in nature. It was lower compared with the previous year in which the Company received a non- recurring refund paid for coal purchase. Costs Total cost (excluding interest, depreciation and tax) increased by 15% over the previous year. However, as a percentage of total income, it decreased marginally by 0.22%. Raw materials Raw materials cost increased, in absolute terms, by 8% and as a proportion of total income decreased by 3.64% during the year. This absolute increase in consumption was compensated by a timely revision of the sale price of finished goods. Utilities Utilities cost increased 3% in absolute terms during the year. However, as a proportion of total income, they decreased from 10% in the previous year to 9% during the year. The Company took several utility conservation measures across its operational units. Employees Employees cost increased by 13% in absolute terms mainly on account of new recruitment and increments | corrections during the year. Revenues per employee increased from Rs0.38 crores to Rs0.44 crores during the year. Margins The Company registered an improved profitability at the operating and net levels. In absolute terms, EBIDTA increased from Rs100 crores to Rs118 crores, due to better sales realisation which was partly offset by higher raw materials prices and employees and repairs costs. PBT increased by 20% to Rs46 crores compared to the previous year. However, PAT margin remained stagnant at 3% during the year due to higher tax payment as compared with the previous year. Funds Equity capital The equity capital remained unchanged at Rs29.67 crores, with no equity dilution during the year. The equity capital comprised of 2,96,91,780 equity shares of Rs10 each, of which 6.62% constituted bonus shares by capitalisation Individual cost heads as a proportion of operational revenues: Cost heads % of operating revenues 2008-09 2007-08 Raw materials 52.64 56.28 Power, fuel and water 9.26 10.36 Employees 7.61 7.79 Stores consumed 3.33 3.32 Machinery repairs 3.17 3.05 Building repairs 0.58 0.63 Interest 3.44 3.17 Depreciation 2.66 2.84 Tax 0.64 0.36