per cent in turnover on an annualised basis in the year ended March 1991. Profits at the gross level and profits after tax and depreciation deteriorated by 13.5 per cent and 34.1 per cent, respectively. This was mainly due to an all round increase in the cost of raw materials (9.8 per cent), power and fuel (25.1 per cent) and labour (23.9 per cent) and rise in depreciation provision (63,1 per cent) and tax provision (125 per cent). However, (he performance of the company in the first half of 1991-92 was encouraging as net sale and net profits recorded increases of 16 per cent and 14 per cent respectively over the corresponding period of the previous year. Judicious purchase of cotton helped the company to contain the impact of the inflationary spiral in cotton prices.
