Texmaco net rises 49% to Rs 4 cr

Our Corporate Bureau

Kolkata, May 16: WAGONMAKER Texmaco Ltd on Wednesday reported a growth of 49 per cent in net profit at Rs 4 crore for the year to March 31, 2001, up from Rs 2.73 crore in the previous fiscal.

The company has attributed the better performance to a major restructuring exercise in its factory.

The board of directors, which met on Wednesday to clear the audited results, has recommended a dividend of 15 per cent, or Rs 1.50 on each Rs 10 paid up share.

Income from operations increased marginally from Rs 140.52 crore to Rs 150.11 crore during the same period.

A company statement stated that Texmaco has benefited “substantially” from a restructuring exercise that is integrating operations at the Agarpara factory in North 24 Parganas.

The exercise has pruned overheads and improved operational efficiency and capacity use.

Along with wagon building, Texmaco is also planning to manufacture modern freight cars for carrying petroleum products and chemicals, steel coils and automobiles.

The company noted that raw materials, components etc was higher during the year as the company executed
certain wagon orders for which it procured all the inputs, unlike the Indian Railway orders.

Also, the previous year’s figures in respect of erection and interest have been regrouped.