RED HERRING PROSPECTUS Dated August 24 ... - Globus Spirits

Interest & Finance Charge 40.29 53.29 106.40 296.22
Interest & Finance Charge as a % 0.47% 0.47% 0.66% 1.47%
of Total Income
Depreciation
273.83 394.69 573.48
205.37
Depreciation as a % of Total 2.38% 2.41% 2.44% 2.84%
Income
PBT 616.79 1221.08 1946.05 1988.23
PBT as a % of Total Income 7.14% 10.74% 12.04% 9.84%
PAT 523.88 865.52 1264.16 1293.15
PAT as a % of Total Income 6.07% 7.61% 7.82% 6.40%
For Financial Year Ended 31st March 2009 vis a vis 31st March 2008
Sales Revenues
Net Sales (net of excise) increased from Rs.15,692.37 Lac in the FY 2007-08 to Rs. 19,713.30
Lac for the FY 2008-09. An overall increase of 25% was due to an increased sales of Industrial
Spirits, increase in the sales of Country Liquor cases for the FY 2008-09. As against 1,23,94,550
BL of Industrial Spirits and 47,38,214 cases of Country Liquor sold in FY 2007-08, GSL sold
1,35,07,262 BL of the Industrial Spirits and 49,23,042 cases of Country Liquor in 2008-09. IMFL
sales of franchise & own brands also increased in FY 2008-09 to 9,43,719 cases from 6,15,374
cases in FY 2007-08 which also contributed to the growth in sales revenue substantially.
Total Income
The rise in total income is due to rise in sales as explained above. The other income is at the
same level as per last year.
Raw Material Consumed
Raw Material consumption for the FY 2008-09 was 62.56% of the Total Income at Rs. 12,633.37
Lacs as against 60.93% of Total Income in FY 2007-08 at Rs. 9,844.45 Lacs. In proportion to the
Total Income, the raw material consumption increased by approx 2% for the periods under
comparison. The increase was due to a rise in the input costs (Raw material prices) in the
Financial Year 2008-09.
Manufacturing Expenses
Manufacturing expenses increased from 14.40% of the Total Income in 2007-08 to 14.96% in
2008-09. This is due to additions in bottled products of IMFL from 6,15,374 cases in FY 2007-08
to 9,43,719 cases in FY 2008-09.
Staff Costs
Given economies of scale the staff cost dropped marginally from 1.60% of the Total Income in
2007-08 to 1.54% in FY 2008-09.
Administrative & Selling Expenses
The administrative and selling expenses during FY 2008-09 decreased to 6.77% of the Total
Income from 7.89% in FY 2007-08. Though the selling expenses in absolute figures rose from
Rs.1020.72 lacs in FY 2007-08 to Rs 1134.27 Lacs in FY 2008-09, the administrative expenses
dropped from Rs 236.01 lacs in FY 2007-08 to Rs 214.76 Lacs in FY 2008-09, due to control on
overheads.
Profit Before Interest, Depreciation, Tax and Amortization (PBIDTA)
PBIDTA increased from INR 2,453.22 Lacs in FY 2007-08 to INR 2,863.49 Lac in the previous FY.
PBIDTA as a percentage to Total Income was 14.18% as compared to 15.18% in FY 2007-08.
The decrease was due to a rise in the cost of raw Materials.
Interest and Finance Expenses
193