Gokaldas reduces net loss to Rs 11 cr

Gokaldas Exports Ltd (GEX) has reduced net loss to Rs 10.98 crore for the fourth quarter ended March 31, 2013, as against Rs 51 crore reported in the corresponding quarter last year. Its sales income during the quarter has increased 7.6 per cent to Rs 254 crore as against Rs 236 crore reported in the same quarter last year.

The company has also reduced its operating loss for the fourth quarter to Rs 5.6 crore compared to an operating loss of Rs 53 crore in the year ago period.

On a full year basis, the PBT loss stands at Rs 109 crore as against Rs 131 crore in FY12, a 17 per cent reduction in loss. Merchandise sales have been flat in FY13 compared to previous year despite difficult conditions in the global markets.

On a macro basis, there has been no improvement in the apparel segment over the past few quarters. Garments exports from India have declined by 8 per cent in the first nine months of FY13 driven by a steep 22 per cent decline in exports to Europe, the company said in a statement.

Against this backdrop of declining exports, there has been growth in order book particularly in second half of FY13 resulting in revenue growth in Q4FY13. However, market challenges continue with retail prices in the global markets showing flat to declining trend for all major brands. In India, inflationary conditions continue to persist leading to rise in wages and salaries as well as other operational expenses, the statement said.

“Our focus continues to be on stronger customer connect, improvement in productivity, cost management measures and growth in top line,” the statement added.