Greenply Q3 net sales up, net profit dips
February 01, 2011
The leading plywood and panel producing company, Greenply Industries Limited posted Rs. 316.54 cr. net sales for the third quarter ended December 31, 2010. The company reported 44.86 percent increase in its net sales of Rs. 218.52 crore in the corresponding period previous year. The company registered 48.38 per cent decline in its net profit for the same quarter, at Rs 7.19 crore. The company had posted a net profit of Rs 13.93 crore in the year ago period.
"The dip in net profit is due to losses coming in from our two new facilities in Uttarakhand and Himachal Pradesh. This is the initial period and hopefully we will post positive results in the fourth quarter," Greenply Industries Joint Managing Director & CEO Saurabh Mittal told PTI.
The company has incurred a loss of Rs 12.11 crore due to low capacity utilisation and product-mix at the new medium density fireboards (MDF) plant at Pantnagar and laminate unit at Nalagarh, he added.
Mittal said Greenply is investing Rs 25 crore to double the plywood making capacity at its facility in Rajkot from 3.75 million sq mt at present.