INDIA: Arvind Q1 profit down 33% on higher costs
Arvind Ltd, one of India's largest textile and apparel makers, has reported a 33% drop in first quarter profit which it has blamed on rising energy, dye and cotton costs.
For the three months from April to June, net profit slipped to INR40m (US$0.938m), down from INR60m in the same quarter last year.
Net sales rose 6% to INR5.45bn from INR5.15bn year-on-year.
The firm said its lower earnings have to some extent been offset by its garments, shirting and branded apparel business.
Branded apparel and retail sales grew by 35%, and the company is continuing to expand its value apparel retail format under the Megamart brand.
"Apart from denim, all other textile and apparel products are running at optimum capacity utilization," a company statement said.
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