Moser Baer: Fiscal 1Q14 Financial Results

Moser Baer India Limited released its financial results for the first quarter of FY ’14 ended June 30.

• Net sales increased by 21% Q-o-Q to INR 3,416.5 million on account of substantial increase in sales volumes and higher realizations during the quarter sales volumes of high margin advanced formats increased by 27% Q-o-Q during the quarter
• EBITDA margin improved substantially on the back of significant recovery in underlining operating margins
• Liquidity position improving concurrently with improved business performance
• Moser Baer’s PV business ramped up its module manufacturing up to 62.5 MW (annual run rate) on account of sustained high demand from the Japanese market
• Moser Baer Solar has been awarded the JIS Q8901:2012 Certification, a quality standard established in Japan ensuring Reliability Assurance System including design, production and product warranty for PV Modules
• Moser Baer Solar continues to be amongst the largest players in PV systems business in India with over 250 MW of projects executed till date

Commenting on the quarter’s performance, Bhaskar Sharma, CEO, storage media, MBIL, said: "We witnessed significant increase in export volumes of CDs and DVDs during the quarter. This along with stability in ASPs and key input costs resulted in improvement in financial performance during the quarter. With our liquidity position improving steadily, we have a stable order loading over the next few quarters."

K N Subramaniam, CEO, Moser Baer PV Systems, said: "Solar PV continues to gain strength with over 1,700 MW of grid connected power plants in operation ending March 2013. Many states including Tamil Nadu, Andhra Pradesh, Karnataka, Madhya Pradesh, Uttar Pradesh, Punjab are aggressively promoting Solar and released bids for over 2,500 MWs in the wake of huge power shortages in these states. Jawaharlal Nehru National Solar Mission Phase II has been announced and bids for 750 MW will be invited in the next few months. All these will provide greater opportunities for Moser Baer Solar both for modules and systems business, which has installed over 258 MW covered by 25 installations across the country.’"

He further added: "With the imminent implementation of CDR, we look forward to ramping up of our module production and PV systems business."

Commenting on the results, Yogesh Mathur, group CFO, MBIL, said:" Better realizations and increase in sales volumes have contributed to significantly improved operating performance during the quarter. With the signing of debt restructuring agreements with majority lenders, our CDR implementation is ongoing and should lead to further improvement in operating performance."

Storage Media

• Higher contribution of value added products aided healthy ASPs during the quarter
• Visibility of higher order pipeline over the next few quarters
• Key input costs likely to remain stable
• Power costs expected to reduce in the near future