Despite stagnant profitability, the company has announced a higher dividend of Rs 3.5 as compared with 20 per cent for 1997-98. The earning per share (EPS), however, remains more or less the same at Rs 12.53 compared to Rs 12.07 in the previous year. Gross profit dropped to Rs 1,574.36 crore from Rs 1,637.04 crore.

Total sales rose to Rs 6,643 crore during the year, an increase of 15.9 per cent over the figure of Rs 5,731 crore in 1997-98. However, other income registered a drastic fall to Rs 251.04 crore from Rs 662.40 crore, a drop of 62 per cent.

The company is paying lower tax in 1998-99, the provision for taxation being Rs 175.47 crore, which is a drop from Rs 369.72 crore in the previous year.

Gail made investments amounting to Rs 503.66 crore in Oil and NaturalGas Commission (ONGC) in 1998-99 while investments in 1997-98 amounted to Rs 39.90 crore.

The dividend payout will amount to Rs 328.534 crore while the corresponding figure was Rs 186.04 crore for the previous year.