Production Hit by Power Cut, but Not Profits

Production Hit by Power Cut, but Not Profits Hansavivek TATA ENGINEERING AND LOCOMOTIVE COMPANY (TELCO) is stepping up dividend by 4 points to 20 per cent. Of this, 6,75 per cent will be exempt from income-tax in the hands of shareholders under section 80K of the Income-tax Act. Net turnover has increased from Rs 342-37 crores to Rs 401.61 crores and gross profit from Rs 27.14 crores to Rs 30.62 crores, reflecting a. slight shading of margins, As before, there is no tax liability and net profit is Rs 17.62 crores against Rs 15.14 crores. The enhanced distribution is covered 1.90 times by earnings as against 2.11 times previously These results have followed despite lower production of commercial vehicles. Vehicle production at Jamshedpur was 20,007 unitri as compared to 26,043 units in the previous year because of acute power shortage and industrial unrest in the plants of major ancillary suppliers.