GSFC net rises by 31% on increased sales

State government promoted, Gujarat State Fertilisers and Chemicals Ltd (GSFC) has posted net profit of Rs 142 crore for the first quarter ended June 2011, up by 31 per cent from Rs 109 crore registered in the corresponding period last year.

In a statement issued on Thursday, the company informed that the net profit for the quarter was the highest ever so far by the company in any financial year. The company witnessed constraint in availability of imported phosphoric acid at its Sikka unit, which affected production and availability of DAP during the quarter under review. However, in spite of this the company posted a net sales of Rs 1,208 crore for the quarter against Rs 1,067 crore in the corresponding period last year.

The company announced the quarterly results after a meeting of the board of directors held on Thursday at Gandhinagar. The company mentioned that the joint venture project in Tunisia would be commissioned in second-half of the current fiscal, while the methanol project is likely to be commissioned in the fourth quarter of 2011-12.

GSFC has also taken up modernisation of Cyclohexanone unit which will help in reducing the consumption of benzene - a raw material for the company.

The company has also planned capacity addition to the tune of 15000 million tonnes per annum in Nylon-6 capacity at Baroda unit, for which technology tie up is in progress. GSFC has identified various clean development mechanism (CDM) projects.