Birla Corp quarterly net down 8.85 per cent
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Birla Corporation, the flagship firm of the M.P. Birla Group, on Wednesday reported a 8.85 per cent drop in its standalone net profit to Rs 57.46 crore for the quarter ended March 31, largely due to increased expenses.
The Kolkata-based firm had reported a net profit of Rs 63.04 crore during the corresponding quarter of 2011-12.
Net sales of the company during the quarter under review increased by 9.75 per cent to Rs 651.36 crore vis-a-vis Rs 593.50 crore of Q4 of FY11, it said in a filing to the BSE.
The company did not provide consolidated results for the January-March quarter.
Total expenditure of the cement-to-jute manufacturer rose by 15.68 per cent to Rs 599.02 crore in the quarter under review.
For the full year 2011-12, the company's net profit, on a consolidated basis, declined by over 25 per cent to Rs 239.44 crore, though its net sales were up 5.80 per cent to Rs 2,246.87 crore.
"Apart from substantial increase in the cost of coal, power charges and freight—both rail and road—also impacted profits. The effective excise duty rate increased in the recent Budget had also added to the cost," the company said in a separate statement.
Giving its outlook for the current fiscal, the company said that demand had seen a revival since January and the momentum is expected to continue, although cost pressures continues to be a matter of concern. Shares of the company closed today at Rs 255.20 apiece on the BSE, down 0.20 per cent from the previous close.
