Companies

Solar Industries’ profit jumps 61% on tax write back

Our Bureau Mumbai | Updated on November 07, 2019 Published on November 07, 2019

Solar Industries, a packaged explosive manufacturing company, has reported 61 per cent jump in September quarter net profit at ₹87 crore against ₹54 crore largely due to lower tax.

Revenue of the company was down at ₹507 crore (₹521 crore) due weak economic activity.

The company logged a deferred tax write back of ₹27 crore (₹3 crore) and lower current tax of ₹18 crore against ₹32 crore recorded in same period last year.

In line with its strategic decision to cater propulsion system for space application, the company has decided to make an equity investment of ₹17.50 crore in Sky Root, a start-up which is entering into the business of launching small satellites in two years. The company has also received supply order from ISRO.

Manish Nuwal, Managing Director and CEO, Solar Industries said revenue during the quarter was lower due to excess and prolonged rainfalls and subdued economic activities in the country.

The continued uncertainty over trade conflicts resulting in weakening economic activities in international markets has impacted overseas business as well, he said.

To stimulate economic activities, the government has announced various measures such as infusion of ₹25,000 crore for completion of stalled housing projects and NHAI was allowed to raise ₹85,000 crore through Asset Monetisation for Road projects to speed up road construction activity.

Published on November 07, 2019
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