MUMBAI, MAY 27: Century Textiles and Industries Ltd has showed a net profit of Rs 20.81 crore during the year ended March 2000 against a net loss of Rs 92.70 crore last year mainly due to higher other income (Rs 86.41 crore against Rs 51.59 crore) and sharp drop in interest burden to Rs 174.39 crore from Rs 197.60 crore.After adding excess provision for taxation of Rs 13.98 crore (nil) and other small adjustment, the total net profit amounted to Rs 34.52 crore against a net loss of Rs 93 crore last year. The directors have recommended a unchanged dividend of 6 per cent.The net sales/income from operations amounted to Rs 2109.68 crore (Rs 1937.54 crore). The gross profit improved from Rs 56.12 crore to Rs 95.15 crore. The provision for depreciation dropped from Rs 148.82 crore to Rs 74.34 crore due non-provision of depreciation for the year pertaining to three divisions of the company viz Century Denim, Century Pulp and Paper and Maihar cement Unit II amounting to Rs 67.99 crore. The company has obtained permission of the government in this regard.The company said the profit during the year has improved but the continued recession especially in rayon and cement industries had its adverse impact on the selling prices and profitability. In view of adverse market scenario, no new projects are being undertaken.According to the management, the basis of valuation of certain categories of inventory has been changed to bring the same in line with the accounting standard has resulted in an increase in the profits for the year by Rs 8.16 crore.
