Century Enka net profits down 75 to Rs 7.8 cr

MUMBAI, June 3: Century Enka has posted a 75 per cent drop in its net profit at Rs 7.8 crore during the year ended March 31, 1998, against Rs 31.06 crore in the same period the previous year figures for the year ended March 31, 1998 include those of the erstwhile Rajashree Polyfil, which got amalgamated with the company. Though the company declared an interim dividend in November 1997, the board has not declared a final dividend owing to inadequate profit.

The drop in net profit was on account of a lower price realisation and depressed market conditions, says a release. The company8217;s turnover, however, has increased 36 per cent to Rs 725 crore, from Rs 535 crore. Interest and depreciation stand at Rs 39.55 crore and Rs 38.15 crore respectively.

The scheme of amalgamation of Rajashree Polyfil with the company has been completed, and is effective, April 1, 1997. The amalgamation is expected to provide advantages to the company. The product range is widened with the addition of substantial capacities ofPoY and polyester chips.

The company has lowered the prices of end products for parity with the landed cost of imports. The offtake of tyre yarn and tyre-coded fabrics was lower by 12 per cent, versus the previous year, says the release.

Commercial production of Rajashree Polyfil commenced on May 20, 1997. After initial teething problems, the products of this division have been well received by the market.