ITC's net touches Rs. 1,000 cr.

By Our Staff Reporter

KOLKATA, MAY 30. ITC registered a 27 per cent growth in its post- tax profit touching Rs. 1,000 crore mark during 2000-01. The pre- tax profit grew by 30 per cent to Rs. 1,600 crores. The turnover increased to Rs. 8,816 crores from Rs. 8,069 crores. The company had reportedly maintained its conservative approach by making full provisioning against certain State taxes, the collection of which was stayed by the appropriate courts. Approving the audited results, the directors have recommended a dividend of Rs. 10 per share against Rs. 7.50.

According to a company release, the improved results were achieved through continuous value addition to products and services, quality upgradation, strengthening of the goodwill of the company's trademarks, improvement in productivity and continuous focus on cost management. As a result of these, ITC's net trading margins have increased to 40 per cent from 35 per cent. Repayment of foreign currency loans, as part of the debt retirement plans adopted last year, reduced the interest cost by Rs. 28 crores during the year.

The company consolidated its leadership position in cigarette by pursuing the strategy of continuous value addition. The company's contribution to the exchequer grew by over 10 per cent to Rs. 5,100 crores.

Agri exports grew by nearly 12 per cent to Rs. 363 crores in spite of a decline in India's agri-exports market for the third successive year. Exports of packaging and printing facility grew by 35 per cent.

On the retail business front, the company will open 25 `Wills Sport' outlets in the next four months. The newly formed greetings card SBU has made rapid progress by establishing the presence of its `Expressions' range of cards in over 7,000 outlets in 180 towns across the country.

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Section  : Business
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