Turnover of Bombay Dyeing goes up

Tag : greige fabrics
Turnover of Bombay Dyeing goes up July 01, 2008 (India)
Bombay Dyeing & Manufacturing Company Ltd has informed BSEregarding a Press Release related to Financial Results for the yearended March 31, 2008.

Manufacturers of projectile and airjet loom woven, greige,bleached, yarn and piece dyed, and printed dobby and fine countfabrics for bedding applications.

The turnover of the Company has gone up from Rs.536 crores toRs.1014 crores. However, the net profit has come down from Rs.36crores to Rs.17 crores. This is mainly due to the appreciation ofthe rupee affecting the exports of textiles and higher raw materialprices and over supply situation in the domestic PSF market.

The finance cost has gone up substantially with Ranjangaonprocessing plant and PSF plant commencing commercial operationsduring the year and also on account of hardening of interest rates.

The commercial production of the State of the Art processing unitat Ranjangaon has commenced in the last quarter of the currentyear. The Company has opened 14 new showrooms and also upgraded andrenovated 12 franchise stores during this year. The domestic marketfor textiles is showing good growth, but the export business hasbeen affected due to fierce international competition and rupeeappreciation.

The PSF plant went into commercial production from 1st October2007. The PTA facility has been tied-up for PTA as feedstock. Majorportion of the DMT plant equipment has been disposed. The PSFmarket in India is currently facing an oversupply situation whileraw material price has gone up substantially. This position islikely to continue for some more time.

The construction of the residential tower at our Spring Mills isprogressing and most of the apartments have been sold. The demandfor the good residential properties still remains firm.Construction of commercial buildings at our Worli location has alsocommenced. However, steep increase in the prices of steel andcement has been causing concern. M/s. Larsen & Toubro Ltd. willtake overall responsibility for the construction.

The Board has recommended a dividend of Rs.3.50 per equity share ofRs.10/- each for the year ended 31st March, 2008. The AnnualGeneral Meeting is scheduled on Wednesday, 27th August, 2008 at3.45 pm.