MRF Q3 Net Surges 260% To Rs 29 Crore

Chennai, July 29: | Updated: Jul 30 2002, 05:30am hrs
Chennai-based tyre maker MRF Ltd has recorded a 260 per cent increase in its net profit for its third quarter ended June 30, 2002. The net profit of the company stood at Rs 29.47 crore for the quarter as against Rs 8.19 crore for the corresponding period of the previous year.

The net sales of the company increased by 9.87 per cent for the period at Rs 588.43 crore (Rs 535.58 crore). Of this, the revenue from rubber products stood at Rs 580.47 crore and Rs 7.96 crore came from other sources. The other income of the company was also higher at Rs 0.67 crore (Rs 0.38 crore).

While interest burden was down to Rs 10.33 crore (Rs 13.90 crore), depreciation was marginally higher at Rs 24.20 crore (Rs 24.11 crore). The company’s profit before tax had also increased to Rs 43.49 crore (Rs 13.02 crore).

Company said that the better performance was achieved through a combination of measures including cost reduction and better sales.

“April-June is the period when tyre companies normally do well. Besides, there has been a reduction in inputs costs as well. The sales to OEMs were also high”, said Philip Eapen, vice-president (marketing) MRF Ltd.