Indian Suzuki car maker Maruti Udyog has reported a net profit of Rs 104.5 crore in 2001-02 on a turnover of Rs 9410.3 crore.
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The company had reported a net loss of Rs 269 crore in 2000-01 on a turnover of Rs 9253.3 crore.
The company also announced a dividend of 30%.
The turnaround came in a year when the Indian car market was flat and the overall economy remained depressed.
Maruti says it consolidated its leadership by improving quality, introducing special editions of its Suzuki-based 800, Zen and Esteem models and luring customers with aggressive promotions and advertising.
Strong volume increases for the WagonR and Alto also helped the results.
The percentage of defect free vehicles, which was about 20% in 2000-01, increased to over 70% in 2001-02, enabling the company to reduce manufacturing and warranty repair costs and enhance productivity.
Outsourcing of low value-added work and a substantial reduction in material handling also improved productivity.
During the year, the company offered a voluntary retirement scheme and almost 19% of employees signed up.
