Moser Baer India Limited announced financial results for the quarter ended June 2016.
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Unedited press release follows:
Moser Baer announces April-June’16 Results
August 11, 2016 — Moser Baer India Limited (MBIL) today released its financial results for the April-June’16 quarter. The financial results for the period ended June’16 were approved by the company’s Board of Directors, at its meeting in New Delhi today.
Highlights:
• Total standalone income remained stable at INR 1,569 million for April-June’16 quarter;
• Recovery in production and sales volumes of optical media during the quarter with higher traction from the OEM segment;
• Despite liquidity constraints, the higher scale of production and sales along with improved operational efficiencies resulted in a positive EBIDTA.
• Solid State Media (SSM) segment recorded 30% increase in the turnover Y-o-Y on the back of enhanced market share through key customers in India. Turnover in this quarter was affected by adverse product mix that was skewed towards lower memory capacities, which resulted in lower ASPs (Average Selling Price).
• The Company continues to build on its sales and distribution network addressing both the B2C and B2B segments in order to tap the massive opportunities in LED Lighting for which the Company is well positioned.
Yogesh Mathur, Group President and Group CFO, Moser Baer India Ltd., further commented “The Company’s efforts have resulted in a recovery of our optical media volumes which has enabled us to leverage scale benefits more effectively in this quarter. In addition, firming up of ASPs and a strong focus on costs has allowed the Company to report positive EBITDA. Moser Baer also continues to expand its market share in India in the SSM segment and is working on strategic partnerships in this segment to entrench itself further in this space. ”
Trends in Storage Media:
• Net Sales stood at INR 1,426 million.
• Product mix and contracted ASPs are expected to be stable in the coming quarters, along with further restoration of volumes in optical media segment and continued growth in SSM segment.
• With increased volumes from international and domestic customers, margins are expected to improve marginally in the coming quarters.
Financial Update
• The Company has made progress in several respects in the preparatory process for restructuring the terms of the outstanding FCCBs and awaits the approval of its secured lenders to move ahead.
• The Company is actively engaged in dialogue with the secured lenders to address liquidity and debt issues to support business recovery and has submitted a revised restructuring proposal, which is yet to be accepted by secured lenders.
Trends in the Solar Photovoltaic business:
• Tenders for solar projects worth 20,766 MW have been issued so far, out of which power purchase agreements have been signed for 8,482 MW, letter of intent has been issued for 3,392 MW while financial bids have been opened for 1,930 MW. Presently, tenders have been floated for 6,962 MW for which bids are yet to be opened. [Written Reply to Rajya Sabha]
• A total of 8,000 MW of DCR (Domestic Content Requirement) projects have been identified by the government to be implemented during 2014-18, 625 MW stand implemented in 2014-15, 675 MW of projects awarded and under implementation and another 1,842 MW of projects under various stages for award in 2016-17.
• However, volatility in DCR orders and delay in disbursement of approved government subsidy continues to impact the manufacturing operations.
• PV Business is in the process of executing a 45 MW DCR cells order for a leading EPC Company. First dispatch of cells began in July’16.
• The Solar Subsidiaries continue to engage with their secured lenders to seek support for their revival. Despite the lender consortium (under CDR) withdrawing support to one solar subsidiary, the subsidiary continues operations based on customer support and management’s efforts at optimizing cash flows.
Commenting on the solar business of the company, K N Subramaniam, CEO, Moser Baer Solar Limited said: “Moser Baer has started manufacturing of cells against 45 MW DCR order, and we expect more orders considering the huge DCR opportunity for the year 2016-17. Despite liquidity challenges which is a major constraint, PV business is working with the customers to overcome the same”
About Moser Baer India Ltd. Moser Baer India Limited headquartered in New Delhi, is a leading global tech-manufacturing company. Established in 1983, the company has successfully developed cutting edge technologies to become one of the world’s largest manufacturers of Optical Storage Media like CDs and DVDs and Solid State Media. The Company has also entered into the emerging energy efficiency lighting segment. Over the years the company has entered into exciting areas of technology manufacturing and is a market leader in the high growth photovoltaic space. It is the only company worldwide to receive the prestigious 5-star rating from TÜV Rheinland for 3 years in a row (2009 – 2012) maintaining highest standards of quality in manufacturing PV modules. Moser Baer India has emerged as one of the most credible brands focused on hi-tech manufacturing and R & D activities. It is continuing to unfold the next generation innovative technologies that will catapult India into a respectable manufacturing hub.