Divi's Labs net profit down 10%

Hyderabad-based Divi's laboratories net profit has come down by around 10 per cent to Rs 66 crore for the year 2004-05 as compared to Rs 73 crore in previous year. The company's total income, however, stood at Rs 364.5 crore as compared to Rs 317.28 crore in 2003-04.

The board of directors of the company, which met to approve the audited financial results for the last financial year, has recommended a dividend of 80 per cent on equity shares of Rs 10 each for the year ended March, 31, 2005.

In a press release, the company said that the lower profitability during the year was due to the movement of certain products with higher material costs and increase in prices of petroleum and molasses-based solvents besides incidence of higher taxation consequent to withdrawal of exemption on export profits.

Profit before tax for the year stood at Rs 102.31 crore as compared to Rs 101.96 crore in the previous year.

For the fourth quarter ending March 31, 2005, the company earned a profit after tax of Rs 23 crore on an income of Rs 115 crore as compared to Rs 22 crore on an income of Rs 102 crore during the corresponding previous quarter, the press release added.