New Delhi: Polyester manufacturer Indo Rama Synthetics India on Wednesday reported an over three-fold jump in its standalone net profit at Rs 94.64 crore for the fourth quarter ended on March 31.
The company had posted a net profit of Rs 30.84 crore in the corresponding period a year ago, Indo Rama Synthetics said in a statement.
Net sales of the company on a standalone basis during the quarter was up marginally by 0.63 per cent to Rs 642.05 crore as against Rs 638.02 crore in the same period a year ago.
For the entire fiscal 2015-16, Indo Rama Synthetics’ consolidated net profit was Rs 56.14 crore. It had a net loss of Rs 20.69 crore in 2014-15.
Its consolidated net sales were down 9.01 per cent to Rs 2,464.75 crore in the 2015-16 fiscal from Rs 2,708.90 crore a year ago.
“The company registered higher sales of 9.39 per cent in terms of volume at 3,36,393 tonnes vis-a-vis 3,07,517 tonnes in the previous year. Domestic sales volume increased by 19.55 per cent during this year from 2,40,083 tonnes to 2,87,021 tonnes,” said Indo Rama Synthetics.
Commenting on the results, Indo Rama Synthetics CMD O P Lohia said: “The polyester industry saw a comparatively better year in 2015 with the domestic market showing an upward trend in terms of higher demand. Moreover, crude oil prices were low during the year. As a result, the prices of raw materials, PTA and MEG have remained subdued.”
He further added, “Moreover, our initiatives during the year, which include, higher capacity utilisation, cost reduction measures and impetus to high value added.”
Meanwhile, in a separate filing, Indo Rama Synthetics informed that its board has recommended 10 per cent dividend, which is Re 1 per share for the financial year 2015-16.
Indo Rama Synthetics’ board also “approved issuance of unsecured non-convertible debentures to its wholly owned subsidiary, Indo Rama Renewables Limited, up to Rs 50 crore on private placement.”
Shares of Indo Rama Synthetics today settled at Rs 32.85 on the BSE, up 0.61 per cent from previous close.