See 35% revenue growth this year: Ballarpur Industries

Below is a verbatim transcript of an exclusive interview with B Hariharan on CNBC-TV18. Also watch the accompanying video.

Q: Can you take us through what has been the trend in paper pricing over the last few days because we have seen the stock being on the tear right now?

A: Paper prices have gone up. It has gone up from USD 800 to about USD 1000. Internationally also paper prices and uncoated paper prices are firming up. We are now exporting paper from India, uncoated paper at USD 1000, so that is the situation. We also expect the domestic paper prices also to go up.

Q: What does that mean in terms of revenues and margins for you all at BILT? Is this something that you can reap in the form of higher margins or is this more or less compensated by the rise in your own raw material prices?

A: There has been rise in pulp prices. The pulp prices have also touched USD 800 from USD 700 last quarter. This price increase is definitely going to offset some of the increases in cost but net effect would be that there will be an improvement in the margins by at least half percent.

Q: Your year ending if I remember is June, how much do you expect? What kind of a revenue growth do you expect by June 2010 and if you have any forecast for FY11 as well in terms of revenue earnings?

A: This year the revenue growth would be in the region of about 35% compared to last year because we have completed the capacity expansions and part of the capacity expansions will be converted into revenue this year. Next year compared to this year it will be another 25% growth because we will be utilizing the full capacity in FY10-FY11.