CAMPLIN LTD = RESULTS FOR = Q1 FY 2012 (JUNE 2011) = SALES & PROFITS LOWER THAN Q1 FY2011

Camlin Limited

NSE Symbol    CAMLIN

CAMLIN LTD  has declared its first qtr (Q1 FY 2012) results for Q/e June 2011.

Net Sales is Rs.112.44 cr – up by 63.16% from Preceding Qtr of Q4 FY11 – and down by  6.71% from the corresponding Qtr of Q1 FY11.

Total Expenditure        is Rs.101.74 cr – up by 47.86% from Q4 FY 11; and Down by 4.57% from Q1 FY 11.

Profit from Operations is Rs.10.71 cr – up by 2330% from Q4 FY 11 but down by 24.88% from Q1 FY11.

Profit  before tax is Rs.8.38 cr – up by 669.37% from Q4 FY 11 and down by 34.17% from Q1 FY 11.

Net Profit      is Rs.6.25 cr – up by 1090 Cr from previous Qtr and Down by 34.42% from Q1 FY11.

Basic EPS on a Face value of Rs.1 is Rs.1.02 – against Rs.(-)0.1 in Q4 FY 11 and Rs.1.58 in Q1 FY 11.

Generally – the first quarter of the year is very important for CAMLIN. If it goes well – the rest of the quarters will be well. Though Camlin has scored reasonably in Q1 FY12 – the performance falls much short of the First quarter of Q1 FY11 of last year. The other quarters are not comparable to the First quarter. There is not much increase in expenditure. But, Sales itself is less and therefore profits are less. So- whether Camlin will improve in next 3 quarters significantly and go beyond last year’s total  performance in Sales and Profits with reasonable Growth needs to be seen.

Generally – the emphasis on Education  by Government and people - augurs well for the company. The company is looking at new Geographies – and Capacity expansion is on, in all 4 of its Plants. It has Modernized their Plants – which are now well equipped for next 2  years. No further fund raising is LIKELY.  It is also – setting up schools which are getting good response.

ANNOUNCEMENTS TO  NSE

08-07-2011        Camlin Limited has informed the Exchange that in terms of approval received from members in the Extra-ordinary General Meeting held on June 29, 2011, the Committee of Directors of the Company, at the meeting held on July 08, 2011, have allotted 69,34,000 Equity shares of Re.1/- each at a price of Rs. 85/- per equity share for cash (Inclusive of Share premium of Rs 84/- per share)to Kokuyo S&T Co. Ltd. Consequent, to this allotment the paid up Equity Share capital of the Company is 6,79,98,537 Equity Shares of Re 1/- each.

31-05-2011        press release dated May 30, 2011, titled "Camlin Ltd., (India) & Kokuyo Co., Ltd., (Japan) enter into a strategic alliance to create waves in Stationery Industry".

25-05-2011        Camlin Limited has recommended a Dividend of Re.0.25 per share i.e. 25% on 6,10,64,537 Equity Shares of Re.1/- each.

04-02-2011        Camlin Limited has informed the Exchange with reference to the News Report that appeared in the News Paper on February 4, 2011 regarding MOU with Zebra Co Ltd., of Japan, the company would like to clarify that the arrangement with Zebra (Japan) is a part of regular business. This MOU will add Zebra pens made in Japan to the product offering which is of writing instruments. Company are not diversifying into any other area, but is improving upon the Product Offerings which is an on going exercise, which is not a significant disclosure affecting the price sensitivity.

RESULTS  TABLE :

camlin ltd	30-Jun-11	31-Dec-10	30-Jun-10
Net Sales	11244.42	6891.57	12053.37
Other Operatng Income	0.13	33.08	32.63
Increase in SIT/WIP	165.1	-356.75	770.19
Raw Materials	3173.39	2864.61	3493.47
Traded Goods	3942.02	1813.22	3755.09
Employees Cost	827.29	686.08	771.36
Depreciation	169.91	160.3	146.65
Other Expenditure	1896.08	1713.13	1723.79
Total Expenditure	10173.79	6880.59	10660.55
Profit from Operations	1070.76	44.06	1425.45
Other Income	-	-	0.05
Interest	232.87	191.22	152.66
Profit  before tax	837.89	-147.16	1272.84
Tax expense	212.8	-84.02	319.63
Net Profit	625.09	-63.14	953.21
Face Value (In Rs	1	1	1
Paid Up Equity	610.65	610.2	602.96
Basic EPS	1.02	-0.1	1.58
Diluted EPS	1	-0.1	1.56
Public Holding (%)	61.87	61.81	61.35

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CAMLIN - Q1 FY11 = GOOD IMPROVEMENT = FY11 HIGHLY PROMISING

CAMLIN

Q1 FY11

RESULTS COMPARISON

INTRODUCTION

Camlin (CAMLIN) is a part of the Camlin group, which also consists of the demerged listed company Camlin Fine Chemicals, Camlin Pharma and several associate companies.

The company produces a wide range of products such as artist materials, hobby colors, scholastic colors, scholastic stationery products, office products and writing instruments under the Camel and Camlin brands - and the Krafty range of glues, adhesives and scissors. Its specialty ink division offers dye-based and pigment-based inks, ball pens, gel ink pens, deskjet ink, metamarks, rubber stamp ink, fountain pen ink, Bomark and Durmark inks. It is a market leader in art materials and stationery segment and Corporate gifts.

Its manufacturing plants are located at Tarapur and Vasai in the Thane district, Taloja in Navi Mumbai and Jammu. It has wide distribution network. Major countries of export are USA, Thailand, Bahrain, Turkey, Algeria, UAE, Bangladesh, Nepal, Sri Lanka, and CIS countries.

The company plans to strengthen its chemical and stationery businesses and wants to expand its reach in the US and UK markets. Camlin also intends to increase its capacities at its units in Tarapur and Taloja.

QI FY II Results

CAMLIN has declared its result for the Q1 FY11. It has performed excellently in the current quarter. The results are compared with the preceding quarters as below :

Net Sales has increased by 31.4% to Rs.121 Cr in Q1 FY11 compared to Rs.92 Cr in Q4 FY10 – and Rs.106 Cr in Q1 FY10 (an increase of     13.8%).

Total Expenditure has increased by 27.1% in Q1 FY11 to Rs.107Cr compared to Rs.      84 Cr in Q4 FY10 – and by 14.2% compared to Rs.93 Cr in Q1 FY10.

Net Profit   has increased by a huge 116.6% in Q1 FY11 to Rs.9.53 Cr – compared to Rs.4.40 crores in Q4 FY10 – and by 18.9% compared to Rs.8.02 Cr in Q1 FY10.

Basic EPS has gone up to Rs.1.58 in Q1 FY11 from Rs.0.73       in Q4 FY10 and compared to Rs.1.34 in Q1 FY10. Multiplying Q1 EPS by 4 and annualizing it – we find, CAMLIN is likely to clock an annual EPS of around 5 to 6  on the face value of Rs.1- against the last year EPS of just Rs.2.

At current Market Price of Rs.35,    and the likely FY11 EPS of Rs.5, the PE Ratio comes to 7. Thus, CAMLIN  is a good BUY at current prices.

RESULTS - FIGURES

CAMLIN	Jun-10	Mar-10	Dif%1	Dec-09	Sep-09	Jun-09	Dif%2
Net Sales	12053.4	9171.8	31.4	6202.6	7071.4	10588	13.8
Other OptgIncome	32.63	21.32	53	5.73	10.52	8.59	279.9
SIT&WIP	770.19	-563	-237	63.22	-458.02	-19.01	-4151.5
Raw Materials	3493.47	3420.3	2.1	2241.2	2427.6	2992.98	16.7
Traded Goods	3755.09	2906.7	29.2	1709.2	2369.4	3854.45	-2.6
Employees Cost	771.36	778.2	-0.9	632.9	667.42	837.02	-7.8
Depreciation	146.65	126.88	15.6	130.87	130.29	128.76	13.9
Other Expdr	1723.79	1720.8	0.2	1394.9	1647.3	1539.42	12
Total Expenditure	10660.6	8389.8	27.1	6172.3	6784	9333.62	14.2
Profit-Operations	1425.45	803.3	77.4	35.98	297.87	1263	12.9
Interest	152.66	165.61	-7.8	148.75	127.17	141.41	8
Excepti.Items	-	41.76		41.77	41.78	41.77
Profit before tax	1272.84	595.93	113.6	-148.53	130.37	1079.82	17.9
Tax expense	319.63	155.91	105	-9.31	28.29	278.26	14.9
Profit after tax	953.21	440.02	116.6	-139.22	102.08	801.56	18.9
Net Profit	953.21	440.02	116.6	-139.22	102.08	801.56	18.9
Dividend (%)	-	50		-	-	-
Face Value.Rs	1	1	0	1	1	1	0
Paid Up Equity	602.96	602.15	0.1	602.15	600	600	0.5
Basic EPS	1.58	0.73	116.4	-0.23	0.17	1.34	17.9
Public holding.%	61.35	61.32	0	61.3	61.15	61.15	0.3

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