Interest costs push Southern Online into red in June quarter

Southern Online Biotechnologies Ltd, which operates in bio-diesel production and internet services segments, reported a net loss of Rs 4.73 crore in the three months ended June 30, 2011, compared to a profit of Rs 21 lakh in the corresponding quarter last year.

The company slipped into the red despite a 58 per cent growth in revenue to Rs 15.61 crore (Rs 9.89 crore).

It reported sharp increases in expenditure on several items including a 48 percent jump in raw material costs, and a doubling of fuel and power costs and operating expenses.

However, the interest costs in the June quarter were Rs 3.82 crore (Rs 31 lakh) and accounted for the bulk of the loss.