The Kochi-based Nitta Gelatin India Ltd (NGIL), a joint venture between Kerala State Industrial Development Corporation (KSIDC) and Nitta Gelatin Incorporated Japan, has declared a 40 per cent dividend for the year ended 2011.
NGIL clocked a total revenue of Rs 202 crore as against Rs 194 crore for the same period last year showing an increase of 4 per cent. However, the expenditure is up by 22 per cent to Rs 191 crore from Rs 156 crore for the year under review, primarily due to increase in raw material costs. The price of crushed bone and hydrochloric acid has increased by 21 per cent and 92 per cent respectively. Consequently, the net profit before tax is also lower at Rs 2.5 crore.
The depreciation is higher at Rs 8.4 crore as against Rs 7.4 crore last year. The last quarter (January-March 2011), in particular, has seen the consumption cost of raw material go up quite steeply to Rs 30 crore from Rs 27 crore last year.
While the net sale has increased for the whole year, the quarter has witnessed a marginal decrease in sale. NGIL expects raw material prices to stabilise and with the launch of new products on the anvil, the company looks forward to better its performance significantly in 2011-12, a release said.