Hit by higher interest and huge foreign exchange losses, Shree Renuka Sugars reported a net loss of Rs 618.5 crore for the quarter ended September 30, as against a net profit of Rs 127.8 crore posted in the same period last year.
“Due to volatile global market developments, there was an unusual depreciation in the value of the Indian rupee (9.5 per cent) and Brazilian Real (18.8 per cent) against the US dollar during the quarter.
“As a result, there was a net exchange loss of Rs 569.8 crore on consolidated results for the quarter,” the company said in a filing to the BSE.
The company’s performance was also affected because of higher interest cost, which rose to Rs 192.5 core (Rs117.7 cr) during the quarter ended September 30.
The company’s sales remained low at Rs 2,355.4 crore in the current quarter compared with Rs 2,484.5 crore in the year—ago period. It said profits in sugar business dipped to Rs 16.9 crore from Rs 19.9 crore during the review period.
However, its ethanol business was upbeat as the profits rose significantly to Rs 18.6 crore from mere Rs 0.9 crore in the review period.
Shree Renuka Sugar’s shares closed at Rs 51.70 on BSE, down 4.79 per cent from the previous day.