Date:13/05/2005 URL: http://www.thehindu.com/2005/05/13/stories/2005051304181700.htm

Business

CPCL posts higher sales and profits

Corporate Reporter

Recommends 120 p.c. dividend for 2004-05

EXPLOSIVE GROWTH: The Chairman, Indian Oil Group Companies, S. Behuria (left), and the Managing Director, CPCL, S.V. Narasimhan, at a press conference in Chennai on Thursday. — Photo: Bijoy Ghosh

CHENNAI: Chennai Petroleum Corporation Ltd. (CPCL), a group company of Indian Oil Corporation, has posted 73 per cent rise in turnover at Rs. 16,296 crores for the 12 months ended March 31, 2005, against Rs. 9,430 crores in the corresponding period in the previous year.

Announcing the results here on Thursday, the Chairman, Indian Oil Group companies, S. Behuria, and the Managing Director, CPCL, S. V. Narasimhan, said the turnover was higher mainly on account of an increase in crude throughput and higher prices for the products based on import parity. The crude throughput for 2004-05 was 8.92 million tonnes against 7.04 million tonnes, a growth of 27 per cent.

The gross profit, before interest, depreciation and taxation, has improved by 76.4 per cent to Rs. 1,300 crores from Rs. 737 crores. The profit after tax too has risen by 49 per cent to Rs. 597 crores from Rs. 400 crores. Higher throughput and higher production of value-added products such as LPG, aviation turbine fuel and HSD were responsible for the increase in profits.

The board has recommended a dividend of 120 per cent for 2004-05 against 50 per cent for 2003-04.

In the quarter ended March 31, 2005, the company posted a net profit of Rs. 217.60 crores against Rs. 220.45 crores in the same period last year. Total Income has increased to Rs. 4,409.43 crores from Rs. 2,696.86 crores.

The Chairman said the company had undertaken two major water-related projects to ensure its operations are not affected by water shortage. It proposed to set up a 5.8 million gallons a day sea-water desalination project at a cost of Rs. 193 crores to be located at Ennore. Parties had been short-listed and bids were being scrutinised. The project is scheduled for completion by mid-2007.

The second was augmentation of the existing sewage treatment plant by another 2.5 million gallons a day with secondary treated sewage from Chennai Metro at a cost of Rs. 44 crores. The plant is scheduled for commissioning by May 2006.