Mumbai, Aug 21: Hinduja Finance Corporation has recorded a 37 per cent rise in its net profit during the year ended June 30, 1998. The finance company has posted a net profit of Rs 8.41 crore compared to Rs 6.13 crore during the previous year. The board of directors have maintained the dividend at 25 per cent on the equity shares and 9 per cent on the cumulative convertible preference shares.According to a company release, the company has earned a total income of Rs 33.32 crore against the previous period's income of Rs 27.99 crore. After deducting expenses of Rs 4.91 crore and a higher interest payment of Rs 10.34 crore, Hinduja Finance recorded a gross profit of Rs 17.98 crore. The company has created a provision of Rs 3.24 crore towards depreciation and Rs 3.41 crore towards diminution in the value of its investments. The company has recorded a profit before tax of Rs 11.33 crore.
"The net profit has gone up in spite of the recession in the economy, difficult times faced by the financial sector and turmoil in the capital markets, and is confident of doing well during the current year, Hinduja Finance's president Ramesh Khanduri said.
According to Khanduri the company has identified non-fund based activities as a thrust area and would focus on mergers and acquisitions, and advisory services in the banking and infrastructure sectors. The company is also planning a foray into debt trading apart from its existing equity trading operations.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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