CALCUTTA, June 3: The K K Jajodia-controlled The Assam Company has decided to pull out of all diversification plans in real estate and other non-traditional areas and instead focus on the manufacture, branding and marketing of tea only.A press release issued by the company says the management has decided to focus attention primarily on the manufacture of quality teas.
The statement added that the company had registered a marginal increase of 4.34 per cent in turnover from Rs 115.34 crore in 1996 to Rs 120.86 crore in 1997.
Though production was pegged at almost the same levels as in the previous year at around 15 million kgs, higher price realisations aided by cost-cutting exercises at all levels, reduction in interest burden through better working capital management and debt realisations and significant downsizing of management staff have resulted in higher profits in 1997.
The company recorded a 441 per cent increase in net profits for 1997 which stood at Rs 9.65 crore. Total turnover of thecompany increased from Rs 115 crore in 1996 to Rs 121 crore in 1997.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
