Companies Atlas Copco India Higher Margins

Atlas Copco (India), a subsidiary of Alias Copco AB. Sweden, manufactures
compressed air equipment, air toots and other allied equipment which find their application in the construction, mining and engineering industries. In addition the company also markets tungsten carbide tipped integral drill steels, extension steels and detachable bits manufactured by Sandvik Asia. Sales in 1993-94 were Rs 69.46 crore, 7 per cent lower than in the previous year. Operating profit was Rs 14 crore, an increase of 62 per cent, and net profit was Rs 5.18 crore, an increase of 301 per cent. Depreciation and taxation were Rs 2.18 crore (Rs 1.49 crore) and Rs 4.99 crore (Rs 1.63 crore). Interest charges were lower at Rs 1.64 crore (Rs 4.12 crore), thanks to judicious working capital management. Other income was Rs 5.83 crore (Rs 2.4crore). An enhanced dividend of 20 per cent was declared for the year.