Grasim Industries Limited, a flagship company of the Aditya Birla Group, has reported a 46 per cent rise in consolidated net profit to Rs. 2,305 crore (US $ 303.5 million) for the fourth quarter ended 31 March.
The company posted a net profit of Rs. 1,583 crore during the January-March quarter of the last fiscal.
Talking about the revenue from the operations at Grasim Industries, it was down 11 per cent to Rs. 19,902 crore during the quarter, whereas it was Rs. 22,431 crore in the corresponding period previous fiscal.
So far as the company’s total expenses are concerned, they were at Rs. 18,560 crore in the fourth quarter of the fiscal year 2019-20 as against Rs. 20,138.25 crore in 2018-19.
The company’s revenue from viscose pulp, viscose staple fibre and filament yarn segment witnessed a decline of 20 per cent to Rs. 2,102 crore as against Rs. 2,625 crore in last fiscal.
“The viscose staple fibre sales were impacted during the last 10 days of the fourth quarter of FY ‘20 due to the lockdown. The domestic grey VSF prices softened sequentially in Q4FY20 in line with global prices, but the overall performance improved quarter-on-quarter on the back of better cost management, higher specialty sales and lower input cost,” Grasim Industries shared in a statement.
The company’s net profit grew two-fold to Rs. 6,677 crore in the fiscal year 2019-20, while it was Rs. 2,745 crore in the previous year.
Commenting on the current situation, Grasim Industries said the economic slowdown caused by COVID-19 will impact the demand of the company’s products. It further added that it has strategised some “measures to reduce its fixed costs and conserve cash as part of its comprehensive business continuity plan.”