INNOVATIVE International's net profit leapt 73.81 per cent to $101.18 million on buoyant sales and production cost-cutting during the 12 months to March 31. Earnings per share increased 48 per cent, the average number of shares rising from 369.09 million to 431.67 million. A final dividend of 8.2 cents was declared, taking the total for the year to 12.2 cents, against six cents a year earlier. Turnover was up 43 per cent to $309 million. The antennae and car accessories maker attributed its rapid growth to the expansion and centralisation of production in Shenzhen, improved sales and the setting up of a trading operation in Tianjin. ''It is expected that our business plan for the future will enhance the group's profits in the future,'' said the company, which is led by chairman Stephen Chang Lien-hing. ''The group will continuously explore and develop markets and products with potential to improve the group's business.'' The net profit was below market expectations, but earnings per share were well ahead of forecasts. According to The Estimate Directory, analysts were expecting net profit to rise 83 per cent to $106.3 million and earnings per share to increase 26 per cent to 24 cents. The results put the stock on an historic price-earnings ratio of 12.39 and a prospective PE of 7.63, assuming 1993-94 earnings per share of 38 cents. The stock's historic and prospective yields are four per cent and 4.8 per cent, respectively. The company said factory space would expand from 600,000 square feet to 800,000 sq ft this year and the workforce would be increased by 4,000. New products including halogen lights, compressors and emergency sets for cars are due to be launched during the year. ''Through co-operation with and acquisition of appropriate parties, the group has obtained the necessary know-how to improve and increase the quality and quantity of the group's product,'' said the company. During the year the company would continue to produce and cut the cost of making thermo-electric rechargeable environmentally friendly NMH batteries, to take on the more common nicad battery. A corporate brand-name, Innotec, will also be heavily promoted, while further expansion in China is expected. Retailing in China under the new brand name is planned for this year. Operating profit was up 59.2 per cent to $92.34 million, taking the profit margin to 29.8 per cent, compared with 26.8 per cent in 1992-93. The relatively positive result came on the back of a 742 per cent increase in the contribution from associated companies from $1.8 million to $15.9 million, 17 per cent of profit before tax. The group's overall tax bill is a low 4.6 per cent. Minority interests took $2.1 million out of the net profit line, against only $214,000 a year earlier. The dividend pay-out ratio was 54.8 per cent, from 44.66 per cent. In January last year the group acquired a 45 per cent stake in toy-maker Rhino Group for $22 million. Diversification was made a priority and since then the group has moved into car parts, antennae and mini-motor making.