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Tiles maker, Asian Granito India Limited , reported a sharp recovery in standalone net profit for the quarter ended September 2020 at ₹18 crore from a net loss of ₹5.3 crore in the previous quarter ended June 2020.
Company's revenues from operations jumped by 148 per cent to ₹278 crore as against ₹112 crore in the June quarter, which was under the Covid-19-induced lockdown.
The company attributed the sharp recovery in profits to lower gas prices and prevalent anti-China sentiment, which has lifted the sales for the ceramics industry, as a whole.
On year-on-year basis too, company's standalone profit for the quarter under review doubled from ₹8.5 crore recorded in the corresponding quarter a year ago.
Consolidated net profit for the quarter stood at ₹19.8 crore as against net loss of ₹7.5 crore in the previous quarter and profit of ₹12.6 crore in the corresponding quarter a year ago.
Consolidated revenues from operations stood at ₹344 crore as against ₹129 crore in the previous quarter and ₹357 crore in the same quarter last year.
Kamlesh Patel, Chairman and Managing Director, commented on the results, "We are happy to announce that the Company’s performance has become similar to pre-Covid times. This has been possible by facing the challenges, drawing effective strategies and marching with determination. The Indian ceramic industry has benefitted from the rising demands of global players. As a result, the large players have improved the working capacity of their plants by a huge margin."
He also stated that "Further advantages for the domestic industry have been the reduced gas prices and the anti-China sentiments. With an impressive performance in various sections of the market, we are looking forward to the consistent growth in the coming quarters of fiscal 2020-21."
The company has a good presence in rural and Tier-II cities. "We will continue to focus on creating value-based products for the middle class, which has been crucial for our impressive numbers in the second quarter of the fiscal. To manage the challenging times at the beginning of the fiscal, we laid down well-though strategies which are aimed at fixing the semi-variable costs. In the coming quarters, the company will be moving towards setting new standards of progress and continue to serve the customers."
Asian Granito shares traded positive on BSE with gains of 0.5 per cent at ₹289.80 Friday.
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