The board, however, approved the financial results. The company has reported 51 per cent growth in turnover for year 1999-2000 to Rs 2,270 crore, while net profit grew by 58.26 per cent to Rs 192.08 crore. Profit before tax during the same period was up by 65 per cent to Rs 284.62 crore.

The company had reported net profit of Rs 121.37 crore on turnover of Rs 1,505 crore in the previous financial year. The dividend payout during the year at the rate of 100 per cent or Rs 10 per share amounted to Rs 44.33 crore.

The total expenditure of the company was up at Rs 1,945.87 crore from Rs 1,303.75 crore. Depreciation was up at Rs 34.67 crore from Rs 22.42 crore, while interest cost was down to Rs 4.71 crore from Rs 6.01 crore. Provision for tax was increased to Rs 92.54 crore from Rs 51.36 crore. Hero Honda is market leader in the motor cycle segment at present with share of 42 per cent. The company sold 7.61 lakh motorcycles, registering 44 per cent growth during the year.

Announcing the results here after a board meeting, Hero Honda Motors chairman and managing director Brijmohan Lall said: "It is the right product strategy, concerted marketing thrust and above all total customer focus in delivering high value for money that has resulted in such a high growth." Hero Honda Motors director Pawan Kant Munjal said: "Our target for the year 2000-01 is to produce and sell over a million motorcycles and maintain our market leadership."