GSFC-Expansion Projects

Expansion Projects GUJARAT STATE FERTILISERS AND CHEMICALS (GSFC) saw a mixed performance in 1996-97. While its net sales and value of production improved by 4.5 per cent and 2.1 percent respectively, the company's bottomline fell by 9.6 per cent Operating profit however increased by 4.4 per cent. The fall in net profit can be attributed to the steep increase in tax provision from Rs 2 lakh in 1995-96 to Rs 30.8 crore during the year under review, The company had to provide for the minimum alternative tax (MAT) in 1996-97. While interest charges rose by 3.9 per cent, depreciation was higher by 0.9 per cent over the previous year.