hitkari industries ltd Management discussions


HITKARI INDUSTRIES LIMITED ANNUAL REPORT 2006-2007 MANAGEMENT DISCUSSION AND ANALYSIS FINANCIAL RESULT: (Rs. In Lac) (Rs. In Lac) Current Year Previous Year Sales & Operational Income 3308.77 3035.18 Gross Profit before Interest, 51.32 263.35 Depreciation and Taxation Less: 1) Interest 135.71 123.35 2) Depreciation 83.02 79.30 3) Provision for F.B.T. 5.00 7.00 Net Loss After Tax (172.36) 54.14 Transferred to Reserve - 54.14 OPERATIONS: The working results of your company for the financial year ended 31st March, 2007 reflect loss for the year. The company has achieved total net income of Rs. 3308.77 Lac as compared to Rs. 3035.18 Lac in the previous year. Loss was Rs. 172.36 Lac as against Rs. 54.14 Lac Profit for the year after Tax for the last year. The loss is due to increase in raw material prices without comparative increase in selling prices and higher incidence of depreciation.