Pokarna's net down

Hyderabad-based Pokarna Limited, a leading granite slab exporter, has posted a net profit of Rs 14.02 crore for the year 2004-05, down from Rs15.17 crore in the previous year, a decline of 7.51 per cent in the profit after tax (PAT).

However, the company's net sales reported a 21 per cent growth, which went up by Rs 24 crore at Rs 135.31 crore as compared to the previous year.

The erosion in margins appears to be basically on account of increased expenditure on all the three fronts "� material cost, manufacturing expenses and staff costs during the financial year 2004-05 as compared to the expenditure of the previous year.

The total expenditure has gone up from Rs 92.67 crore in the year 2003-04 to Rs 119.81 crore during last year.

However, the growth in reserves and surpluses was substantial during 2004-05 at Rs 63.50 crore, up from Rs 52.20 crore in the previous year.

Earning per share (EPS) for the year stood at Rs 22.63 crore, recording a decline of 7.51 per cent over the previous year. But the stand alone EPS of granite division of the company stood at Rs 32.44, an increase of 32 per cent as compared to Rs 24.53 in the previous year, according to a press release.

The growth in the company's reserves and surpluses has been substantial during 2004-05 at Rs 63.50 crore, up from Rs 52.20 crore in the previous year.

The board of directors of the company has recommended a dividend of 35 per cent. The company has paid a dividend of 35 per cent in the previous fiscal.

According to a company press release, trial production in the 'trouser line' employed in the apparels division would commence from July 1, 2005.

The company has recently set up a modern shirt-making factory in the Apparels Park at Gundlapochampalli. Both the divisions of the company operate with the modern machinery and technology available anywhere in the world, the press release said.