Tata Tea net up 91%

BS 200 SCORECARD

Tata Tea has posted a 91 per cent increase in its net profit at Rs 42.81 crore for the quarter ended June 30, 2005 compared with Rs 22.45 crore during the corresponding quarter in the previous year.

Income from operations grew by 8 per cent at Rs 223.22 crore for the first quarter against Rs 205.75 crore in the corresponding quarter in the previous year.

Earnings per share for the first quarter was Rs 7.61 compared with Rs 3.99 during the corresponding quarter in the previous year.

The company has attributed the positive results in this quarter to a 16 per cent annual growth in the branded tea volumes compared to the corresponding quarter in the previous year.

Despite exiting from plantations in the south, its revenues did not suffer.

The company has transferred a portion of its undertaking in 16 estates of south India to Kannan Devan Hills Plantation Company.

Post this sale, Tata Tea will hold 19 per cent stake in the new entity. Tata Tea is merging Tata Tetley, its wholly owned subsidiary, after necessary approvals.

The stock closed at Rs 671.35 over the previous day's close of Rs 665.