fMUMBAI, June 9: Blue Star has reported a modest 4.9 per cent increase in its net profit for 1997-98 to Rs 15.51 crore from Rs 14.78 crore during the previous year. Turnover was up 2.7 per cent to Rs 452.77 crore from Rs 440.84 crore. The board has maintained dividend at Rs 3.50 per share.According to the company, it has retained the number one position in the central air-conditioning segment despite subdued market conditions and a general liquidity crunch in the economy."In a difficult year, this has been a satisfactory performance. While we do not expect a quick turnaround in general business conditions, we are optimistic about the performance during 1998-99," said chairman and chief executive Ashok M Advani.Blue Star's software exports business registered an impressive 47 per cent growth over last year to Rs 25.6 crore. Income from other areas like water-coolers and AC&R projects jumped 96 per cent to 16.9 crore.During the year, the company launched a voluntary retirement scheme for surplusmanpower to reduce costs, both in the management and worker categories.The company's newly set up plant at Dadra in collaboration with Rheem Manufacturing company of the US commenced commercial production in July, 1997. The factory produces ducted splits and packaged units as well as new mini-splits and window-airconditioners. An expenditure of Rs 30 crore incurred for the plant was capitalised during the year.Besides, Blue Star strengthened its relationship with York International Corporation of the US. It also entered into new technology tie-ups with Kolpak of the US for cold rooms, Bohn of the US for heating units.
