HLCL declares 1:1 bonus

MUMBAI, February 11: The board of Hind Lever Chemicals HLCL on Wednesday declared a 1:1 bonus by capitalising the share premium account in supersession of the earlier proposal to issue bonus shares pursuant to the preferential allotment to Unilever Plc, which was terminated.

The company has posted a 43 per cent rise in net profit to Rs 24.75 crore for year ended December 1997, as against Rs 17.36 crore in the previous year. Gross turnover grew by 19 per cent to Rs 565.93 crore during the period as compared to Rs 474.99 crore last year. According to a company press release, HLCL has proposed a dividend of Rs 18 per share as against Rs 13 per share in the previous year.

Operating profit increased 14.7 per cent to Rs 38.61 crore from Rs 33.66 crore last year. Net profit margins of the company, on the back of increased profitability, went up to 4.3 per cent from 3.6 per cent last year.The HLCL scrip at the BSE today dropped to Rs 590 per share after touching a high of Rs 617, from Tuesday8217;s close of Rs 617per share. The market expectation for the bonus was 1:2.