Companies

Hester Biosciences Q2 net falls 13% to ₹8.7 crore

Our Bureau Ahmedabad | Updated on November 06, 2019

Company’s poultry and animal healthcare divisions impacted

Ahmedabad-based animal vaccine maker Hester Biosciences Limited registered a dip in the standalone net profit at ₹8.7 crore, down 13 per cent from ₹9.8 crore for the second quarter ended September 2019.

Total revenues for the quarter stood at ₹42 crore, down as against ₹42.8 crore in the corresponding quarter a year ago.

On consolidated basis, its net profit stood at ₹6.2 crore marginally up from ₹5.8 crore in the same quarter last year. Total consolidated revenues for the quarter stood at ₹44.8 crore, up from ₹43.2 crore last year.

Company’s poultry and animal healthcare divisions were impacted primarily due to factors including high maize prices, delay in purchases by various State governments for animal healthcare products.

Also, due to rise in working capital cycle, the finance cost has increased, while extra credit days have been given to customers but with great diligence, the company informed in a statement.

“With the industrial scenario improving and our sales picking up, we hope to get back to the reduced working capital cycles. In order to go aggressively in the market, recruitment in the marketing division was done, mainly on the technical sales side. Sales results would be visible in the coming quarters, thereby reducing the personnel cost-to-sales ratio,” Rajiv Gandhi, CEO & MD, Hester Biosciences, said.

Hester shares traded positive on the BSE to trade at ₹1,667 on Wednesday.

Published on November 06, 2019

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