Carborundum Universal Ltd (CUMI) has drawn up a Rs 200-crore investment plan for the current fiscal to keep up its growth momentum.
It plans to add capacity in various businesses covering both domestic and overseas operations, the Chennai-based company belonging to the Murugappa Group said in a communication to the stock exchanges today.
It plans to increase capacity in abrasive thin wheels, converted coated products, sintered alumina grains, alumina zirconia grains and lined equipment fabrication facility.
The company also plans to set up a greenfield project for fired and castable refractories.
In its overseas business, capacity expansion in Russia and South Africa would be completed during this year.
The company had recorded on a standalone basis total income of Rs 300.27 crore in Q4 of 2011-12 (Rs 256.08 crore). With increased expenses, the net profit, however, was down to Rs 26.41 crore from Rs 38.02 crore in the corresponding quarter in 2010-11. The EPS was down to Rs 1.41 (Rs 2.04). For the full year, the total income was Rs 1,125.37 crore (Rs 925.28 crore) and net profit was Rs 146.67 crore (Rs 124.25 crore).
Referring to the consolidated performance, CUMI said that consolidated net sales in 2011-12 grew 24 per cent to Rs 1,969 crore from Rs 1,592 crore, with both domestic and overseas operations contributing to increased sales.
Segment-wise, while the ceramics segment showed a growth of 30 per cent plus during the year, the abrasives and electro minerals segments chipped in with 20 per cent plus. Overseas subsidiaries, particularly in Russia, South Africa and Australia, recorded a robust show.
The profit after tax increased 28 per cent to Rs 219 crore compared Rs 171 crore in the previous year.
To rationalise the holding structure, the company transferred its holdings in CUMI Abrasives and Ceramics Company Ltd, China, to its wholly owned subsidiary in Cyprus, the company said.