ICI posts Rs 554.5-million net profit in Q4

Mumbai: ICI India Ltd has posted a net profit of Rs 554.50 million for the quarter ended 31 March 2002 as compared to Rs 410 million in the quarter ended 31 March 2001. The total income (net of excise) has decreased from Rs 1,719.60 million in the quarter ended 31 March 2001 to Rs 1,392.90 million in the quarter ended 31 March 2002.

The company has posted a net profit of Rs 805.20 million for the financial year ended 31 March 2002 as against Rs 691.20 million in FY-2001. The total income (net of excise) has decreased from Rs 7,534.30 million in FY-2001 to Rs 6,530.30 million in the year ended 31 March 2002. The board of directors has recommended a dividend of 100 per cent (Rs 10 per share) to the equity shareholders for the financial year ended 31 March 2002.

The share transfer books of the company shall remain closed from 16 July 2002 to 30 July 2002 (both days inclusive). This dividend will become due and payable on or after 30 July 2002 if approved at the annual general body meeting to those shareholders whose name appear on the register of members as on that date.

During the year ICI India made significant progress towards reshaping its portfolio. Substantial investments were made in growing the core business of paints, quest and performance specialties. It invested approximately Rs 1,800 million in acquiring a majority stake in Quest International India Ltd, buying out Hindustan Lever's catalyst and adhesive business and made substantial marketing investments in the paints business.

In addition, the company has also sold its polyurethane, industrial paints and pharmaceutical businesses to divest from non-core businesses. Financial results for the quarter and the year ended 31 March 2002 are, therefore, not comparable to the previous year.

Exceptional items during the quarter contributed to an income of Rs 603 million, primarily comprising profit on the sale of the pharmaceuticals business, property sales, earn-out from polyurethane sale, net of restructuring costs, voluntary retirement scheme and provision for additional liability in respect of employees' retirement benefits, necessitated by fall in interest rates.