MTNL Q2 net profit down by 14%

BANGALORE: Mahanagar Telephone Nigam Ltd. (MTNL) has recorded a

14.1 per cent slump in net profit for the quarter ended September 30, 1999 to Rs

323 crore as compared to a net profit of Rs 376 crore in the same period last

year.

Net sales of the company for the period under review fell by 7.79 per cent to

Rs 1,220 crore as compared to Rs 1,323 crore in the same period last year. Other

income during the second quarter of the current fiscal year also dropped

marginally to Rs 63 crore from Rs 66 crore last year. A company statement

attributed the decline in income primarily due to the tariff rebalancing brought

into effect from May 1, 1999.

For the six-month period ended September 30, 1999, the company reported a net

profit of Rs 648 crore on a net sales of Rs 2,484 crore, which is lower than the

net profit of Rs. 675 crores and net sales of Rs. 2,604 crores in the

corresponding six months ended September 30, 1998.