The results for last fiscal incorporates operating results of Rajasthan Polymers & Resins which has been merged with the company, with retrospect effect from April 1, 1997, pursuant with BIFR-approved rehabilitation scheme. The company said that the results of 1998-99 and the previous years where hence not strictly comparable.

The company's turnover in the 12-month period dipped to 684.06 crore as compared with Rs 704.72 crore in 1997-98. But, the company said, on a like-to-like basis -- the auto unit was divested last year -- the turnover was marginally higher.

The board of directors have recommeded a lower dividend for the fiscal at Rs 2.50 a share against Rs 3.50 per share, explaining that the reduction in dividend has been done with a view to conserve resources required or new projects and substantial proposed investmentin R&D.

The profit before tax at Rs 5.36 crore, as compared with Rs 57.3 crore in 1997-98, was much lower due to the losses incurred by Rajasthan Polymers. The bottomline has been boosted by write-back of Rs 35 crore of excess tax provided for in the previous years.

The company has said that it expects a significant increase in turnover in the current year as the production of Same Greaves trucks, in collaboration with Italian major Same, picks up. Production of tractors at the Ranipet unit has commenced towards end of the last fiscal.

Other income in the last fiscal declined to Rs 15.2 crore from Rs 23.83 crore in the previous year. Loss of Rs 1.72 crore at the semi-conductor unit at Patancheru, Andhra Pradesh, has been reduced from the other income for the year, while the other income for 1997-98 includes surplus of Rs 10.51 crore on the sale of fixed assets of the auto unit at Baramati.

Interest charges for the last 12 months has shot up sharply to Rs 38.07 crore from Rs 22 crore in the preceedingfiscal.

The company's free reserves has dipped alarmingly to Rs 209.56 crore from Rs 224.35 crore in 1998-99.