New Delhi, May 15: ITC Hotels has announced a 15.58 per cent fall in net profit to Rs 26.21 crore during the year ended March 1998 on a virtually stagnant turnover of Rs 130.85 crore. The board of directors have, however, recommended a dividend at Rs 3 per share (30 per cent), same as the previous year.ITC Hotels financial performance is far short of projections made by the company at the time of an equity issue in 1995. The company had projected a net profit of Rs 36.45 crore which more than Rs 10 crore less than the actual. Turnover projected was Rs 161.11 crore.Net profit in 1996-97 stood at Rs 31.05 crore on a turnover of Rs 130.71 crore. Gross profit during 1997-98 dipped to Rs 35.72 crore against Rs 42.18 crore in 1996-97. The company's profit before tax fell 21.5 per cent to Rs 29.48 crore from Rs 37.56 crore in 1996-97.ITC Hotels has undertaken an organisational revamp. Though Y C Deveshwar continues as chairman and S S H Rehman as MD the company has decided to have a president to look afterday to day work. The new post will be filled by K K Malhotra, presently executive vice president (projects). S C Shekhar, executive vice president (finance), will take over the charge of corporate affairs.
