Bonjour, new guests from small-town India
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Keshav Bhajanka, Executive Director, Century Plyboards Ltd
Century Ply, the country’s largest plyboard maker, expects turnover to hit pre-Covid levels by the end of Q4 of this fiscal.
The company is seeing some slowdown in August sales, primarily on account of localised lockdowns. However, overall Q2 numbers are expected to be at 75 per cent of pre-Covid levels, led by recovery in demand in suburban and upcountry markets.
According to Keshav Bhajanka, Executive Director, Century Plyboards Ltd, good recoveries were noticed beginning July. This came after a ‘near washout’ in the first three months of the fiscal, with sales plunging 25-30 per cent. The plyboard and veneer industry had been witnessing a slowdown even in the pre-Covid days.
“We previously expected turnover to be 50 per cent of pre-Covid levels for Q2. July sales were good, at 75 per cent recovery (in turnover),” Bhajanka told BusinessLine.
“In August, we are seeing some slowdown due to localised lockdowns. However, we should end Q2 at 75 per cent levels. So, by Q4 of this fiscal, we are expecting to be back at pre-Covid levels,” he added.
Century Ply reported a net loss of over ₹8 crore in the June quarter; while the turnover stood at ₹201 crore. It reported a cash profit during the quarter.
Recoveries are led by suburban or upcountry markets that have so far seen a lesser load of the virus. For instance, the upcountry markets of Bihar, Odisha and Haryana, and the suburban areas around Lucknow are back to pre-Covid levels in terms of demand and turnover.
The replacement markets in urban areas are still slow but are expected to pick up as fears over the virus subside.
Normalisation in production, supply and demand will help margins improve. Margins are expected to remain around 16 per cent levels for the full year, Bhajanka said.
Collection from debtors is normalising and debt level is coming down, the company maintained in an investor presentation.
The company will also look at gaining market share as it plans ad-spends for its ‘VIROKILL’ technology-imbibed plywood and laminates.
Meanwhile, Century Ply will reconsider investment plans. The ₹450-crore proposed Sitapur project in Uttar Pradesh has been kept in abeyance since there are issues with licences. Alternative options being explored include an investment of ₹150 crore for additional expansion of facilities at its Hoshiarpur (Punjab) unit.
“Additional investments in Hoshiarpur will be mostly through internal accruals. We are still in the process of finalising them,” Bhajanka said.
Puneet Dhawan of Accor is brimming with ideas on ways to revive the hospitality sector
Citroen’s first vehicle sports a novel design and European interiors. It is also meant to be as comfortable as ...
The pandemic is only the tip of the iceberg that the country’s cash-poor airlines — both regional and national ...
The government is yet to specify the framework of its recently announced old vehicle scrappage policy
Here is a checklist that equips you to discern the market nuances
Sensex, Nifty 50 have witnessed sharp decline
The fund has consistently outperformed S&P BSE 100 TRI over one, three and five years
Returns are superior to immediate annuity plans, but SCSS can secure better rates for new investors sooner if ...
They are the health warriors who battled the Covid-19 pandemic on the ground, and are now the face of the ...
Reading in the loo — flipping through anything, really — appears to help the locomotion
Creator of the world’s biggest art canvas hopes to help children in poorer countries
A book on Badri Narayan is a tribute — albeit a belated one — to an artist who did not enjoy the recognition ...
Its name is the starting point of a brand’s journey and can make a big difference in the success sweepstakes
Sober spirits are the in thing
A peek into where ad spends went last year and where they are headed tomorrow
Can Swiggy Instamart disrupt the ecommerce groceries space, currently ruled by the Amazons and Big Baskets? ...
Three years after its inception, compliance with GST procedures remains a headache for exporters, job workers ...
Corporate social responsibility (CSR) initiatives of companies are altering the prospects for wooden toys of ...
Aequs Aerospace to create space for large-scale manufacture of toys at Koppal
And it has every reason to smile. Covid-19 has triggered a consumer shift towards branded products as ...
Please Email the Editor