Drastic fall in ACC profit

MUMBAI, May 28: The directors of Associated Cement Companies (ACC) have pruned the dividend to 15 per cent for the year ended March 1998 from 30 per cent paid last year following a sharp fall in profits. The dividend will absorb Rs 22.61 crore (Rs 45.21 crore) including the tax on distributed profits.

The net profit of the company dropped sharply to Rs 13.44 crore from Rs 76.92 crore last year. The sales of products and services income during the declined to Rs 2400.01 crore from Rs 2469.22 crore. The overall income for the year was Rs 2,484.73 crore compared to Rs 2527.26 crore in the previous year. The profit before interest, depreciation was lower at Rs 220.09 crore against Rs 286.56 crore. The gross profit dropped to Rs 100.95 crore from Rs 168.27 crore. The provision for depreciation amounted to Rs 85.51 crore (Rs 79.35 crore) and taxation Rs 2 crore (Rs 12 crore). After adjustments and adding balance brought forward of Rs 56.32 crore the amount available for appropriation was Rs 64.76 crore.