The growth was achieved despite marginal increase in sales from Rs 561.16 crore in 1997-98 to Rs 570.26 crore, a company statement said.

Gross profit was also up by 41 per cent to Rs 51.7 crore from Rs 36.64 crore in the previous year.

"Significant progress was made in the company's performance due to financial consolidation, cost reduction, efficient working capital management," SRF Ltd managing director Ravi Sinha said.

He said accomplishment in 1998-99 has contributed to changing the fundamental way of managing, on the one hand, and signifies a turnaround in the financial health of the company.

The financial consolidation exericse that the company undertook two years ago and completed towards the end of 1997-99 succeeded in bringing down the interest cost from Rs 130.27 crore in the previous year to Rs 106.45 crore, the statment added.

It further said,dividend provision for 1998-99 would be made, if and when the board of directors takes a decision in this regard, in a subsquent meeting proposed to be held in July 1999.

SRF is a market leader in industrial yarn and fabric including nylon tyre cord and coated fabric and refrigerant gases.