Indian net profit rises marginally

CALCUTTA, MAY 7: The net profit of Indian Aluminium Company Limited, a subsidiary of Canada-based Alcan, has risen marginally to Rs 76.3 ...

CALCUTTA, MAY 7: The net profit of Indian Aluminium Company Limited, a subsidiary of Canada-based Alcan, has risen marginally to Rs 76.3 crore for the financial year 1998-99. The net profit of the company stood at Rs 71.3 crore in the previous year.

Announcing the financial results of the company here today, Indal’s chairman and CEO, Chris-Bark Jones said that due to sluggish domestic market and low international prices of aluminium, the sales revenue dropped by one per cent from Rs 1162.5 crore in 1997-98 to Rs 1152 crore in 1998-99.

On the future expansion plans of Indal, Bark-Jones said that alumina capacities at Muri and Belgaum would be increased to 101000 tonnes and 365000 tonnes respectively.

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He also informed that Alcan and Hydro Aluminium would buy out the Tata stake in Utkal Alumina in the ratio of 3:1. The new equity shareholding pattern would be 20 per cent for Indal, 45 per cent for hydro, and 35 per cent for Alcan.

The company made Rs 100 crore as capital expenditure in the last year onits various expansion and modernisation plans. The company was also in the process of doubling its smelter capacity at Hirakud and the power plant in the same locality.

Indal also recently commissioned a plant at Lohardaga in Bihar for processing high grade kaolin. According to Bark-Jones, the product was now being test-marketed in India and abroad. On being asked whether Indal was interested in buying stake in Balco and Nalco, the two PSUs earmarked for disinvestment by the government of India, he said that the matter would be seriously looked into.