For 1997-98, the turnover was Rs 326.18 crore (Rs 346.86 crore). In rupee terms, exports improved by 3 per cent to Rs 46.94 crore, compared with Rs 45.50 crore in 1996-97. The countries the company exported to included the US (40 per cent), Europe (55 per cent) and others (5 per cent). As the European economy is doing badly, with exception of the UK, the company found it difficult to significantly improve its exports.

The operating margin declined 5 per cent to 17.5per cent. President (finance) and secretary VG Jaganathan attributed the lower margins to the 10 per cent fall in volumes in quantitative terms.

Interest costs were lower at Rs 18.92 crore (Rs 21.33 crore). Jaganathan said this was possible owing to better working-capital management, lower capital expenditure during the year, as compared with the cash generated, and replacing high-cost loans with commercial papers at a coupon rate of 10.5-11 per cent. Depreciation was higher at Rs 9.52 crore (Rs 7.62 crore), as the full impact of the Rs 44-crore capacity addition done last fiscal was felt this year.