MUMBAI, May 27: Tata Engineering and Locomotive Company Ltd (TELCO) has become the first company in the private corporate sector to cross the Rs 10,000 crore sales turnover mark during the year 1996-97. The company's total income rose 28.6 % to Rs 10,128 crore from Rs 7,850.

The profits of the company before and after tax payment rose by 32 % and 43.8 % respectively over the previous year. The board of directors at their meeting held here today has recommended a higher dividend of 80 % against 60 % paid last year. The total divided outflow will be Rs 220.67 crore (Rs 143 crore last year).

The share price of the company spurted from the official closing of Rs 393 to Rs 408 on brisk buying support soon after the announcement of excellent performance. In the official session, the scrip dropped from Rs 400 to Rs 393 on profit-taking.

Sales of vehicles and other income from operations amounted to Rs 10,096.59 crore (Rs 7,850.58 crore) and other income at Rs 31.84 crore (Rs 30.50 crore). The gross operating margin rose to Rs 1,392.90 crore from Rs 1055.44 crore, an increase of 32 %. As depreciation has claimed Rs 209.24 crore (Rs 164.44 crore), the operating profit amounted to Rs 1183.66 crore against Rs 891.00 crore .

The profit before interest and tax amounted to Rs 1215 crore against Rs 921.50 crore. After interest of Rs 215.04 crore (Rs 160.78 crore), the profit before tax shot up to Rs 1000.46 crore from Rs 760.72 crore. A sum of Rs 1.10 crore (Rs 0.37 crore) has been provided for wealth tax and Rs 237.00 crore (Rs 230.33 crore) for income tax. The net profit rose by 43.8 % to Rs 762.36 crore from Rs 530.02 crore.

After certain adjustments, a sum of Rs 100 crore (Rs 52 crore) has been provided for debenture redemption reserve and after adding balance brought forward from previous year of Rs 88.36 crore (Rs 66.74 crore), the amount available for appropriation was Rs 758.97 crore against Rs 531.36 crore.

After the proposed dividend, a sum of Rs 400 crore (Rs 300 crore) has been transferred to general reserve and balance surplus of Rs 138.30 crore (Rs 88.36 crore) has been carried forward.

The paid-up equity capital at the end of year stood at Rs 255.88 crore (Rs 241.82 crore) and reserves except revaluation reserves at Rs 3391.69 crore (Rs 2174.00 crore).

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