Usha Martin Q1 net dips 86.5%

Wire rope manufacturer Usha Martin Ltd on Tuesday reported 86.5 per cent decline in consolidated net profit at Rs 3.47 crore for the quarter ended June 30, compared to Rs 25.67 crore in the year-ago period.

On a standalone basis, the company posted a loss of Rs 10.86 crore during the period compared to a profit of Rs 7.64 crore in the first quarter of the previous fiscal.

Company managing director Rajeev Jhawar said the fall in net profit was due to dip in demand following the economic slowdown.

Consolidated net sales of the company increased by 11 per cent at Rs 846 crore compared to Rs 762.55 crore in the previous corresponding period.

Jhawar said the company is in the process of implementing projects worth Rs 1,200 crore. The projects included a coal beneficiation project, iron ore pelletisation project, a DRI plant and 35-MW power plant all in Jamshedpur, it added.