The Hindu Business Line : Seshasayee Paper net dives

CHENNAI: Seshasayee Paper and Boards Ltd has reported a steep drop in net profit of Rs 46 lakh on gross sales of Rs 97.72 crore for the first quarter ended June 30, 2004. During the corresponding period in the previous year, the company reported a net profit of Rs 4.68 crore on gross sales of Rs 95.58 crore.

The company has attributed the drop in profits to spiralling costs of raw materials and fuel. According to company officials, between the quarters under comparison, the prices of wood, bagasse and indigenous pulp have gone up by 17 per cent to 24 per cent, imported coal by 31 per cent and lignite 17 per cent.

However, during the current quarter the company expects the situation to ease because bagasse availability is set to increase with sugar mills starting to crush sugarcane. By December-end, Seshasayee Paper will also have a 20-MW captive power plant, they said.

The company produced 29,368 tonnes (28,830 tonnes) and sold 27,043 tonnes (26,027 tonnes). It exported 5,118 tonnes (4,865 tonnes), about 17 per cent of its production. This trend is expected to continue thanks to better realisation in the markets abroad and the weakening rupee, they said.

More Stories on : Paper | rd & Newsprint

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Chennai Petroleum Q1 net up at Rs 163 cr

Aftek Infosys Q4 net rises 19 per cent

VisualSoft net at 7.9 cr

Seshasayee Paper net dives

Arvind Mills net down 35 pc

KVB profit increases by 3.6 cr

Nava Bharat profit soars

SKF India net up by 12.2 cr