When you're hot you're hot. Other media companies may struggle with financials in a depressed market scenario but no so Balaji Telefilms Ltd. The seven-year-old production company registered a net profit of Rs 66.24 million on net sales of Rs 236.20 million in the results announced for the second quarter ended 30 September 2001.

While cost of production and telecast fees remained at the same level as Q1, staff costs almost doubled to Rs 4.3 million compared to Rs 2.6 million in the last quarter. "This is due to the increase in programming hours," says Balaji company secretary Ajay Patadia.

The company managed to continue its pace of growth. Though net sales remained at the same level as the last quarter, the bottom line improved as net profit margins have gone up from 20 per cent to 28 per cent.

The other income in the quarter has gone up from Rs 0.28 million to Rs 5.2 million, principally through dividends earned from its investments in bonds and mutual funds. "The company has invested close to Rs 160 million in mutual funds," says Patadia.

Other expenses have gone up from Rs 8.1 million in Q1 to Rs17.5 million in Q2.

One aspect that is worth noting is that there was no interest component in this quarter. "Our company has achieved the target of being a debt free company," clarified Patadia.

The board has also declared an interim dividend of Rs 2.50 per share (25 per cent on an equity share of par value of Rs 10/-), the payment date being 12 November, 2001.

The figures of the corresponding quarter of the previous year have not been drawn since the listing requirements were not applicable.

The company owned by the family of former film star Jeetendra Kapoor expects to rake in a turnover of close to Rs 1000 million at the end of the current financial year, CEO Sanjay Dosi pointed out in a recent interview with indiantelevision.com.

Obviously the production house will continue to bank on its tried and tested formula of the weepy family drama that it expects will keep it laughing all the way to the bank.