On the other hand, total income of these companies increased by only 8.5 per cent to Rs 1,75,774 crore in 1998-99 from Rs 1,61,991 crore in 1997-98. The ratio of other income to total income rose marginally from 2.50 per cent to 2.65 per cent.

Of the selected 325 big companies, the top 10 according to other income in 1998-99 were Reliance Industries (Rs 607.55 crore), Bajaj Auto (Rs 265.15 crore), Essar Steel (Rs 189.21 crore), Tisco (Rs 177.78 crore), Hindalco (Rs 144.40 crore), Associated Cement (Rs 135.51 crore), ITC (Rs 121.79 crore), Tata Power (Rs 117.21 crore), Larsen & Toubro (Rs 110.06 crore) and Grasim Industries (Rs 105.67 crore).

This study attempts to determine the trend of other income to total income for 325 big companies spanning 20 industries during 1998-99 and 1997-98. Of lateother income has started constituting a significant portion of the net profit of companies.

Other income largely consists of profits through sale of fixed assets, trading operation in the stock market, accounting profit via writing back depreciation already charged, and change of provisioning method for gratuity.

The top 10 according to the other income-total income ratio during 1998-99 were Zee Telefilms (23.69 per cent), Mysore Paper (14.73 per cent), Oriental Hotels (13.65 per cent), Reliance Indus Infra (13.59 per cent), Hukumchand Jute (12.34 per cent), Liberty Shoes (10.22 per cent), Tata Hydro (9.86 per cent), Andhra Valley (9.65 per cent), Bombay Dyeing (9.57 per cent) and Tata Power (9.24 per cent).

Among the 325 companies, 151 reported a fall in the ratio of other income to total income, while 172 companies had a higher ratio in 1998-99.

A significant fall was witnessed in the case of Essar Oil (10.22 per cent in 1997-98 to 3.47 per cent in 1998-99), Himachal Futuristic Commu (10.70 per centto 3.97 per cent), Indo Gulf Corporation (6.26 per cent to 2.44 per cent), Kirloskar Oil Engine (23.32 per cent to 2.26 per cent), National Radio & Elec (11.20 per cent to 3.87 per cent), Oriental Hotels (24.25 per cent to 13.65 per cent) and Tolani Bulk Carriers (6.32 per cent to 1.75 per cent).

The other income of Essar Oil significantly declined by -63.6 per cent to Rs 8.51 crore in 1998-99 from the level of Rs 23.41 crore in 1997-98.But its total income increased by 7 per cent during the same period.

A significant improvement in 1998-99 was noticed in the case of Gujarat Alkalies (2.73 per cent in 1997-98 to 8.77 per cent in 1998-99), Hotel Leelaventure (2.58 per cent to 6.90 per cent), Hyderabad Industries (1.15 per cent to 6.17 per cent), Ion Exchange (1.10 per cent to 5.34 per cent), Liberty Shoes (4.18 per cent to 10.22 per cent), Mysore Paper (10.23 per cent to 14.73 per cent), Suditi Industries (2.43 per cent to 4.17 per cent), Rajshree Sugars (0.52 per cent to 2.84 per cent) and Perfect Circle(4.48 per cent to 6.35 per cent).

The other income of Gujarat Alkalies increased by 418.3 per cent to Rs 45.20 crore in 1998-99 from the level of Rs 8.72 crore in 1997-98. And its total income increased by 61.3 per cent during the same period.

The ratio of other income to total income for 20 industries (325 companies) increased from 2.50 per cent in 1997-98 to 2.65 per cent in 1998-99.

Industry-wise, the ratio increased for cement (2.93 per cent in 1997-98 to 4.28 per cent in 1998-99), paper and paper products (3.88 per cent to 4.30 per cent), fertiliser (2.35 per cent to 2.56 per cent), iron & steel (2.28 per cent to 3.48 per cent), electricity (6.07 per cent to 6.10 per cent), automobiles (1.96 per cent to 2.14 per cent), pharmaceuticals (1.80 per cent to 2.09 per cent), other chemicals (1.50 per cent to 2.60 per cent), aluminium (5.22 per cent to 5.31 per cent), tobacco (2.58 per cent to 3.09 per cent), cables (2.90 per cent to 2.95 per cent) and paints (1.47 per cent to 1.54 per cent). The ratio ofother income to total income of cement and iron & steel increased significantly. Tisco's other income increased by 114.0 per cent to Rs 177.78 crore in 1998-99 from Rs 83.09 crore in 1997-98.But its total income declined by -0.98 per cent during the same period.

Similarly in the case of cement industry,the other income of Associated cement increased by 60.6 per cent to Rs 135.51 crore in 1998-99 from the level of Rs 84.35 crore in 1997-98.And its total income increased by 10.4 per cent during the same period.

The reverse trend was seen in electrical goods (0.88 per cent in 1997-98 to 0.85 per cent in 1998-99), hotels (5.78 per cent to 5.55 per cent), cotton textiles (4.18 per cent to 4.08 per cent), software (2.10 per cent to 1.30 per cent), Tyres & Tubes (3.98 per cent to 3.44 per cent), Engineering (1.65 per cent to 1.61 per cent), and other textiles (2.70 per cent to 2.54 per cent).

In hotel industry, Oriental Hotels showed a significant decline in the ratio. The other income of Oriental Hotelssignificantly declined by -46.2 per cent to Rs 27.90 crore in 1998-99 from the level of Rs 15 crore in 1997-98. And its total income also declined by -4.5 per cent during the same period.This pulled down the ratio for the hotels industry.