Heritage Foods profit rises to Rs 3.74 crore

 It made a provision of Rs 1.87 crore for tax during the quarter. The company could increase its net profit during the quarter despite a 3 per cent rise in the milk procurement costs due to drought conditions in the state.

 Heritage sells about 4.75 lakh liters of milk per day on an average in Bangalore, Chennai, Hyderabad and some other cities in the South. For the half-year ended September, the company's net profit stood at Rs 8 crore on a sales of Rs 116 crore, as compared to that of Rs 7.28 crore and Rs 92 crore, respectively, in the same period last year.

 On an equity base of Rs 9.99 crore, it works out an annualised earnings per share of Rs 16. The company, as part of its Rs 12-crore capital investment plan, has taken up expansion works at two processing plants and main plant, besides setting up six new milk procurement and processing plants.

 This is expected to be completed by the end of the current fiscal.