ihp finvest ltd Management discussions

IHP FINVEST LIMITED ANNUAL REPORT 2009-2010 MANAGEMENT DISCUSSION AND ANALYSIS FINANCIAL RESULTS (Rupees) Year ended Year ended 31.03.2010 31.03.2009 NET PROFIT before Depreciation & Taxation 4,05,01,000 3,40,78,841 LESS: a) Depreciation 1,13,600 3,95,191 b) Provision for Taxation for the year 21,00,000 16,00,000 c) Provision for Fringe Benefit Tax - 50,000 d) Adjustment for Deferred Tax 8,784 (90,156) NET PROFIT after taxation 3,82,78,616 3,21,23,806 Profit brought forward from previous year 4,93,35,356 4,68,85,044 Amount available for Appropriation 8,76,13,972 7,90,08,850 APPROPRIATIONS: Transfer to General Reserve 38,30,000 32,25,000 Transfer to Special Reserve under section 45 (IC) of RBI Act 76,60,000 64,50,000 Proposed Dividend 1,99,42,370 1,70,93,460 Tax on proposed Dividend 33,12,178 29,05,034 Surplus carried to Balance Sheet 5,28,69,424 4,93,35,356 OPERATIONS During the current year, the gross income of the Company was Rs. 1,129.77 lakhs as compared to Rs. 1,955.26 lakhs for the year 2008-09. The profit after tax for the current year was Rs. 382.79 lakhs as compared to Rs.321.23 lakhs for the year 2008-09. The income of the Company during the year comprised dividend received on investments in securities, bills discounting charges and rent received on office premises let out. The Company also holds substantial long-term investments.