DCM Shriram posts 60 cr net in Q3

Hyderabad: DCM Shriram Ltd on Tuesday reported more than two-fold jump in its consolidated net profit at Rs 60.48 crore for the third quarter ended December on higher sales and fall in interest outgo. Net profit of the company, which is engaged into sugar, fertiliser, bio-seeds and chloro-vinyl businesses, among others, stood at Rs 27.36 crore in the year-ago period.

Income from operations rose to Rs 1,262.93 crore during the third quarter of this fiscal from Rs 1,197.05 crore in the corresponding period of the previous year, DCM Shriram said in a statement. "The company reported a satisfactory performance with stable operations and positive improvements in sugar margin structure and outlook," said Ajay Shriram, Chairman and Senior Managing Director, DCM Shriram.

The policy framework for sugar business is moving in the right direction with the government and industry pursuing export of surplus sugar, developing a rational cane pricing policy linking sugarcane and encouraging the production and use of ethanol, he added. Chloro-vinyl business is directly impacted by the global conditions and faces threat from low priced imports.

We continue to focus on improving our cost structure and scale to strengthen our competitiveness, the company said. Stating that the growth of agri-input businesses is affected by adverse weather conditions, Shriram added, "We are further strengthening our product portfolio and intensifying our marketing efforts".