Income from operations, however, dipped marginally during the period to Rs 420.87 crore from Rs 424.78 crore last year. Operating profit reported a dramatic recovery in the first half by registering a 174 per cent jump to Rs 95.68 crore from Rs 34.91 crore in the same period last year. Operating profit margins improved from 8.21 per cent to 22.73 per cent last year.

The sales of the company's toilet soap brands grew by 19 per cent, hair dyes grew by 25 per cent and shaving cream by 26 per cent as against sales in the same period last year. The period witnessed the acquisition of Ezee, Trilo and Key brands by the company from Cussons India. Announcing the results, Godrej Soaps managing director Adi Godrej said: ``We are committed to delivering shareholder value and have put in place various strategic measures to ensure that we continue to grow.'' Godrej said that the financial restructuring that the company has recently undertaken is a step in the direction of reducing cross-holdings that the company has inits associate companies. Depreciation stood at Rs 10.74 crore (Rs 10.66 crore), with the provision for taxation at Rs 5.11 crore. Interest charges were higher at Rs 35.57 crore as against Rs 32.26 crore.

The company posted a turnaround in the second quarter ended September 1999, with a net profit of Rs 39.51 crore against a loss of Rs 8.73 crore. The provision for taxation stood at Rs 4.43 crore in the second quarter period against nil last year. Income from operations dropped marginally to Rs 227.35 crore from Rs 233.49 crore. Operating profit in the second quarter grew substantially to Rs 65.69 crore from Rs 12.69 crore in the corresponding period last year. Operating profit margins improved to 28.89 per cent from 5.43 per cent last year. The company said that income from operations includes profit on sale of 18.42 lakh shares in Godrej Sara Lee.