The Paper Products Ltd
Regd. Office: Regent Chambers, 13th floor, Nariman Point, Mumbai 400 021
Corporate Office: L.B.Shastri Marg, Majiwade, Thane 400 601.
Unaudited Financial Results for the Quarter Ended 30.06.2007
         
(Rs in Lacs)
 
Quarter
Ended
30.06.2007
(Unaudited)
Quarter
Ended
30.06.2006
(Unaudited)
Half Year
Ended
30.06.2007
(Unaudited)
Half Year
Ended
30.06.2006
(Unaudited)

Year
Ended
31.12.2006
(Audited)

Gross Sales
16,057
14,665
31,004
28,114
57,957
Less: Excise & Sales Tax
1,928
2,107
3,849
3,949
7,836
Net Sales / Income from Operations
14,129
12,558
27,155
24,165
50,121
Other Income
302
209
539
565
1,116
Total Expenditure
12,803
11,109
24,438
21,372
44,619
  (Increase)/ Decrease In Stock In Trade
(181)
(208)
(417)
(289)
11
  Consumption of Raw & Packing Materials
10,249
8,857
19,652
16,892
34,934
  Staff Costs
1,113
989
2,072
1,846
3,779
  Other Expenditure
1,622
1,471
3,131
2,923
5,895
Interest (Net)
34
9
59
23
30
Gross Profit
1,594
1,649
3,197
3,336
6,588
Depreciation & Amortisation
721
561
1,389
1,142
2,306
Profit Before Extraordinary & Exceptional Items & Tax
873
1,089
1,808
2,194
4,282
Extraordinary Items (+Income/ (-) Loss)
-
-
-
-
1,208
Exceptional Item (+Income/ (-) Loss) (Refer Note D)
(318)
-
(318)
-
-
Profit After Extraordinary & Exceptional Items & Before Tax
555
1,089
1,490
2,194
5,490
Provision for  - Current Taxes
141
340
227
744
1,208
                     - Fringe Benefits Tax
12
14
25
27
51
                     - Deferred Taxes
2
(81)
64
(178)
237
Profit After Extraordinary & Exceptional Items & Tax
400
816
1,174
1,601
3,994
Dividend recommended paid per Equity Share (Rs.)
1.80
Paid Up Share Capital - Equity Face Value Rs.2
1,254
1,254
1,254
1,254
1,254
Reserves (Excl. Revaluation Reserve)
20,837
Basic & Diluted EPS including Extraordinary & Exceptional Items (Not Annualised) (Rs.)
0.64
1.30
1.87
2.55
6.37
Basic & Diluted EPS excluding Extraordinary Items (Not Annualised) (Rs.)
0.64
1.30
1.87
2.55
5.35
Basic & Diluted EPS excluding Extraordinary & Exceptional Items (Not Annualised) (Rs.)
1.01
1.30
2.24
2.55
5.35
Aggregate of Public Shareholding
- Number of Shares
22,734,830
22,734,580
22,734,830
22,734,580
22,734,580
- Percentage of Shareholding
36.27%
36.27%
36.27%
36.27%
36.27%






Notes:
 
 
 
 
A. Inter Unit Sales (Incl. in Net Sales & Raw Materials Consumed above)
 798
 937
 1,719
 1,719
3,653
 
Auditors have qualified their opinion on the results for the quarter ended 30th June 2007 (as in the prior periods) for inclusion of inter unit sales in net sales & raw materials consumed. The management has continued with this practice as in its view this treatment helps in correctly evaluating the operating profit ratio & the asset turnover ratio. Further this treatment has no impact on profits for the quarter.
B.
There were no investor complaints pending at the beginning of the quarter. One investor complaint was received & resolved during the quarter. No complaint was pending at the end of the quarter.
C. 

The company's sole business segment is consumer packaging & all activities of the company are incidental to this business segment.

D. 
The exceptional item of Rs.318 Lacs arises out of the Supreme Court judgement received by the company on a contested matter on excise duty which was shown as contingent liability in the past years' financial statemnets. Provision has been done based on the legal advice obtained & the Company intends to file a review petition with the Supreme Court.
E.
Consequent to the applicability of Accounting Standard AS 11 (Revised 2003) The Effects of Changes in Foreign Exchange Rates as per the Companies (Accounting Standards) Rules 2006, exchange fluctuation on revaluation of liabilities \ loans incurred for acquiring fixed assets from a country outside India has been recognised in the profit and loss account as against the earlier policy of adjusting the same in the carrying cost of the related fixed assets. Accordingly, Other income for the quarter and half year ended 30 June 2007 includes an exchange gain of Rs.38 Lacs on this account and, consequently, profit for the Q2-2007 & H1-2007 is higher by Rs.38 Lacs. Net effect of the same on the previous year is not expected to be material & has not been quantified for disclosure purpose.
F.
The remaining facilities of the North India Greenfield project in the State of Uttarakhand have been commissioned during the quarter.
G
Consequent to approval by Sharholders in the AGM held on 27th April 2007 subdivision of shares(from Rs.10 per share to Rs.2 per share) has been completed during the quarter & accordingly number of outstanding shares & EPS have been recast & presented accordingly.
H.
The above results were reviewed by the audit committee & taken on record by the board in it's meeting held on 27th July 2007.
Mumbai
  For The Paper Products Ltd.
27th July, 2007
(Visit us at our website: www.pplpack.com)              Suresh Gupta - Managing Director