Press Release

(19th January, 2009)

 

PTL’s  9 months profit zooms 110%

 

New Delhi, 19^th January, 2009: The Board of Directors of Punjab Tractors Ltd. has met today to consider and approve financial results for the third quarter

and nine month period ended 31^st December, 2008.

 

After recording a growth of 9% during April – September 2008 six month period, the aggregate tractor industry has registered a sharp decline of 12% during

the third quarter ended 31^st December, 2008. As a result, cumulative industry for nine month period of current fiscal remained almost flat (261800 tractors against last year’s 258400 tractors).  

 

Against the above industry scenario, PTL’s cumulative tractor billing for April – December 2008 period reached 26619 nos. against last year’s 20006 nos., registering a growth of 33% over same period last year. For Q3, the tractor sale reached 9362 nos. against 9032 nos. of last year.

 

On the above showing, total net operating revenue for the third quarter has moved to Rs. 358.8 crores from last year’s corresponding period level of Rs. 303.0 crores – Up 18%. 

 

Profit Before Tax for Q3 moved to Rs. 51.8 crores against Rs. 39.3 crores of previous year’s third quarter – Up 32%. Profit After Tax reached Rs. 35.0

crores against Rs. 25.4 crores of same period last year.

 

For the nine months ended 31^st December, 2008, total net operating revenue reached Rs. 980.9 crores compared to Rs. 683.8 crores for corresponding period of last year. Profit Before Tax for the period reached Rs. 122.9 crores against Rs. 58.6 crores of previous year’s nine month period – Up 110%.

Profit After Tax was Rs. 84.8 crores against last year’s Rs. 38.5 crores.

 

Mr. Anjanikumar Choudhari – Chairman, Punjab Tractors Ltd. and President - Farm Equipment Sector, Mahindra & Mahindra Ltd. said, “The       current performance is very encouraging, especially in view of the prevailing suppressed market conditions and became possible because of continuous focus    on retail sales, supported by improvement in productivity and cost control measures.”

 

Unaudited Financial Results are attached.

 

 

 

The above results have been subjected to a 'Limited Review' by Auditors of the Company and were approved by the Board of Directors in their meeting held at New Delhi on 19th January, 2009.. The Company is primarily engaged in the business of tractors & self propelled harvester combines. As the basic nature of these activities are governed by same set of risk and returns, these have been grouped as single segment in above disclosures as per Accounting Standard 17 dealing with "Segment Reporting".   The Scheme of Amalgamation (“the Scheme”) of Punjab Tractors Limited with its holding company Mahindra and Mahindra Limited has been sanctioned by  the High Court of Judicature at Bombay on 9th January, 2009 .The approval of the High Court of Punjab & Haryana, Chandigarh is awaited. Certified copies of the Order sanctioning the Scheme by the High Court of Judicature at Bombay and Order of the High Court of Punjab & Haryana, Chandigarh sanctioning the Scheme are awaited and the Scheme is yet to be effective. The Effective Date of the Scheme will be the last of the dates on which certified copies of the Orders passed by the aforesaid High Courts are filed with the Registrar of Companies, Maharashtra, Mumbai and the Registrar of Companies, Punjab, Jalandhar respectively. The Company did not have any investor complaints pending as on 1st October, 2008 and 31st December, 2008. There were two investor complaints received and disposed off during the said quarter. Previous year figures have been regrouped / recast, wherever necessary.

for and on behalf of the Board of Directors (Anjanikumar Choudhari) Chairman