Articles by Kumaran Pola

Expansion Plans Make Headway Kumaran Pola SUPREME INDUSTRIES' net sales crossed the Rs 100-crore mark and reached Rs 105.17 crore during the year ended June 30, 1990. This was 37 per cent higher compared to Rs 76.83 crore during the preceding year. The Injection Moulding Division at Andheri operated at full capacity. The division had undertaken the challenging assignment of developing moulds for electric voting machines for ECIL, Hyderabad, and supplied 75,000 units within the time-frame set by them. The PVC Pipes and Fittings Division handled 9,523 tonnes as against 8,176 tonnes in the preceding year.

Diversification by Acquisition Kumaran Pola VXL INDIA recorded a 48 per cent increase in sales on annualised basis during the 15-month period ended March 1990, from Rs 153.80 crore during the 18-month preceding period to Rs 189.29 crore. Raw material cost spurted at a higher annualised rate of 66 per cent. There were increases in other costs too. As a result, the expenses-to-sales ratio worsened from Operating profits showed a lower growth

Riding the Shipping Boom Kumaran Pola GREAT EASTERN SHIPPING achieved the highest ever turnover and profit during the year ended March 31, 1990. According to the directors, this was possible on account of a larger fleet as well as a very buoyant freight market. The main income of the company showed a 43 per cent increase on annualised basis to Rs 213.10 crore during 1989-90. Due to more than proportionate increases in operating expenses, the growth in operating profit was lower at 27 per cent (annualised) and in net profit at 13 per cent (annualised). The directors state that the profits would have been higher but for the explosion on one of the company's tankers,' Jag Laxmi'. The approximate loss of profit due to the explosion was Rs 2 crore.

Wide Product Range to the Rescue tionate increases in cost of production. Raw material cost increased by 13 per cent, employees cost by 18 per cent and other expenses by I5 per cent. There were spurts in interest expenses by 11 per cent and tax prbvisten by 71 per cent. Therefore, operating profits increased only nominally by 1 per cent and net profits in fact declined by 39 per cent (all an- nualised). According to the directors, there were frequent increases in the price of paper, one of the key inputs for laminates. The prices of the finished goods could not fully absorb the escalation in the costs of inputs. These problems were compounded by the unscheduled power cuts which severely affected production.

BAJAJ TEMPO increased its sales, net of excise duty by 30, per cent on annualised basis from Rs 326.57 crore during the 18-month period ended March 31, 1989 to Rs 196.09 crore during the 12-month period ended March 31,1990. Due to general reductions in costs as reflected in expenses to sales in 1989-90, the company more than doubled