Calcutta, Jan 24: BK Birla group's tea outfit Jay Shree Tea & Industries Ltd reported a 51 per cent dip in net profit to Rs 2.80 crore (Rs 5.71 crore) for the third quarter to December 31, 1999. Its board has approved share buy-back of 10 per cent of the existing equity from its shareholders at a maximum of Rs 140 per share.The company said the tea crop has declined substantially because of adverse weather.
It said sales turnover dipped slightly to Rs 59.01 crore in the third quarter of the current fiscal from Rs 60.53 crore in the corresponding period of the previous year.
The company has 15 tea estates with a total annual output of 16 million kg.Rising interest cost and expenditure coupled with declining sales affected the company's bottomline. Depreciation charges during the quarter declined by 35 per cent to Rs 1.80 crore from Rs 2.75 crore in the quarter to December 31, 1998. The company will convene an extra-ordinary general meeting of shareholders on March 3 to seek their approval for thebuyback plan.
The buyback will be implemented by the company through one or more methods prescribed by the Sebi. The price will be determined by the board after the EGM.
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