The Hindu Business Line : Hatsun Agro net doubles in 2006-07

The efforts last year in streamlining logistics, establishment of infrastructure, and power conservation measures have contributed to the growth, according to company officials.

At the meeting of the board on Thursday, the directors recommended a dividend of Rs 2 (20 per cent) on a share of Rs 10.

The CMD, Mr R.G. Chandramogan, during the previous year the company had focussed on streamlining logistics cost by opting for larger capacities of milk tankers — the company moves milk with a fleet of six tankers with a capacity of 23,000 litres each (against the conventional 10,000-12,000 litres).

It has also achieved power savings by shifting to a coal-based system for steam generation from oil.

These have contributed to the doubling of net profit while the turnover itself has grown by just about 8 per cent, he said.

Hatsun Agro Product is among the largest private sector dairy company that procures milk and markets it under the brand of Arokya, the flagship brand.

It also markets Komatha brand of milk and the premium Arun Ice cream. In the last two years, the company has also released a wide range of dairy products including paneer, ghee, butter and curd.