The Hindu Business Line : Bombay Dyeing posts Rs 3.7-cr net profit

Mumbai May 25 Bombay Dyeing has reported a net profit of Rs 3.7 crore for the quarter ended March 31, 2007. This is against a net loss of Rs 7.4 crore reported in the corresponding quarter of the previous year.

Total income declined to Rs 151.5 crore (Rs 218.8 crore).

For the year ended March 31, 2007, the company reported a 41 per cent decline in net profit at Rs 35.9 crore. Net profit for the previous fiscal had been Rs 61.3 core.

Total net income for the year almost halved to Rs 526.4 crore from Rs 1,034 crore.

While the domestic market for textiles is showing reasonable growth, oversupply and fierce competition have characterised the export business, said a statement from the company.

Commencement of the company's new textile processing facility at Ranjangaon will mitigate to a large extent the cost disadvantages faced by its textile division in Mumbai.

The polyester intermediates market is currently experiencing substantial volatility with large swing in crude oil prices, mismatch of supply and demand in raw materials and strengthening of the rupee, said the statement. The company's board recommended a dividend of Rs 5 per equity share of Rs 10. Its shares declined by 2.91 per cent on the BSE to close at Rs 563.9.