The company's performance showed decline despite an increase of 8.9 per cent in the hotel's operational turnover at Rs 94.89 crore (Rs 87.14 crore). Interest outgo was also lesser at Rs 2.43 crore (Rs 4.03 crore). However, the other income declined sharply by Rs 57.81 per cent to Rs 10.19 crore (Rs 24.15 crore).

According to Oriental Hotels' executive director and Secretary T Nataraajan, the company had exported hotel-construction related material worth Rs 11 crore to the group's Taj Coral Reef Resort in Maldives and made a profit of Rs 1 crore in 1997-98. Whereas in 1998-99there were no exports overseas. The reduction in other income was in part due to a lesser amount of Rs 2.76 crore being provisioned for fluctuation in foreign exchange as per the revised AS-11 requirements of accounting standards. In the previous year there was a provisioning of Rs 6.17 crore.

The hotels' operating fee receipts, however increased to Rs 4.81 crore (Rs 3.75 crore). The board also cleared a proposal for employee stock options which would be formally approved by shareholders during the AGM to be held on August 12.