**[investwise]** Kansai Nerolac To Use Hosur As The Hub For Supplies To The Auto Sector

 

Kansai Nerolac Paints (KNPL) plans to invest Rs 400 crore over the next two years to augment the production capacity of its Hosur plant by 20 per cent, a top company official said today. The current capacity of the plant is around 15,000 tonnes.   "As part of the second phase of the project, we want to increase its capacity by 20 per cent in the next two years. For this, we plan to spend Rs 400 crore," Kansai Nerolac Paints Chairman J J Irani said at the annual general meeting of the company today. A portion of the funds will be utilised for other projects as well, he said.   KNPL posted a 70 per cent increase in net profit to Rs 1,706.38 crore in FY10 against Rs 1,374.51 crore in the same period last year.   Irani said the company's market share in industrial paints and decorative paints stood at 42 per cent and 13 per cent, respectively.   "We are doing well in the industrial paints sector. We are also picking up in the decorative segment, which (we) had started just few years back," Kansai Nerolac Paints Managing Director H M Bharuka said.   Recently, due to an increase in excise duty, coupled with a rise in raw material prices, paint manufacturers across the country had increased prices.   "We have increased our prices by 4 per cent in May and might increase it by 3 per cent by July," Bharuka said.   Asked whether the eurozone crisis could have an impact on their business, Irani said, "Euro crisis will not have much an impact as fluctuations in dollar could, as raw materials are purchased in US currency."   Safe Harbor Statement: Some forward looking statements on projections, estimates, expectations & outlook are included to enable a better comprehension of the Company prospects. Actual results may, however, differ materially from those stated on account of factors such as changes in government regulations, tax regimes, economic developments within India and the countries within which the Company conducts its business, exchange rate and interest rate movements, impact of competing products and their pricing, product demand and supply constraints.   Nothing in this article is, or should be construed as, investment advice.

__._,_.___

Reply to sender | Reply to group | Reply via web post | Start a new topic

Messages in this topic (1)

Recent Activity:

• New Members 6

Visit Your Group

*****************************************
http://in.groups.yahoo.com/group/investwise/

INVESTMENTS IN INDIA
We are low-risk, long-term investors. 

Stocks, mutual funds and the entire investment gamut.  Only financing/investment avenues in India will be discussed. 

For any assistance, questions or improvement ideas, contact investwise-owner@yahoogroups.co.in

****************************************************************

NEW! ==== Check our LINKS and FILES sections for a world of information. REGULARLY UPDATED.

NEW! ==== Check "Tracklist" in Links and Files sections for Investment Ideas.

****************************************************************

Switch to: Text-Only, Daily Digest • Unsubscribe • Terms of Use

.

__,_._,___