[ad_1]
BENGALURU, Feb 14 (Reuters) – Sugarmaker EID-Parry (India) EIDP.NS reported a 13.7% fall in third-quarter profit on Tuesday, as it battled higher costs and reduced distillery production.
Profit slipped to 157.8 million rupees ($1.91 million) for the three months ended Dec. 31 from 182.9 million rupees a year earlier.
Total expenses climbed about 7% to 7.21 billion rupees, mainly driven by higher coal prices, the company said.
Companies globally have been battling higher costs of raw materials and labour over the last few quarters, shaving millions of dollars off their bottomline.
For EID-Parry, revenue from operations increased 6% to 7.27 billion rupees.
Improved sugar export volumes and realisations partially offset the reduction in distillery production, the company said in a statement.
Profit before tax for the sugar segment came in at 228.6 million rupees from a loss of 1.8 million rupees, while that of the distillery segment dropped nearly 100% to 200,000 rupees.
Sugar mills could also be set for more pain due to potentially lower exports.
Reuters reported last month that sugar mills would stop cane crushing up to two months earlier than last year in the country’s top-producing state Maharashtra, as heavy rain had curtailed sugarcane availability.
Shares in the Chennai, Tamil Nadu-based company closed 0.65% lower. Through Tuesday’s close, shares had fallen 9.4% this year.
($1 = 82.7690 Indian rupees)
(Reporting by Praveen Paramasivam in Chennai and Nishit Navin in Bengaluru; Editing by Janane Venkatraman)
((Praveen.Paramasivam@thomsonreuters.com; +91 867-525-3569; Nishit.Navin@thomsonreuters.com;))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[ad_2]
Source link
