Symphony's net profit falls 94% to Rs 2 cr in Q1 as Covid-19 bites

Air cooler maker Symphony Ltd on Tuesday reported a 93.93 per cent decline in consolidated net profit at Rs 2 crore for the quarter ended June, impacted by the coronavirus lockdown.

The company had posted a net profit of Rs 33 crore in the April-June period a year ago, Symphony said in a BSE filing.

Revenue from operations dropped 47.26 per cent to Rs 154 crore during the quarter, as against Rs 292 crore earlier.

"The demand has taken a hit in Q1 of FY 2020-21 due to nationwide lockdown due to Covid-19 pandemic," it said. Total expenses stood at Rs 166 crore compared to Rs 263 crore earlier, down 36.88 per cent.

Symphony's revenue from the Indian market dropped 77.02 per cent to Rs 34 crore from Rs 148 crore in Q1 FY 2019-20.

According to the company, this was "due to nationwide lockdown which impacted the sales badly in April and May 2020 (peak summer months)." Revenue from overseas market was at Rs 120 crore, down 16.66 per cent from Rs 144 crore.

On the outlook, the company said, "There are uncertainties about the performance in FY 2020-21. However, company is quite confident and optimistic of its medium to long term prospects."

The company has initiated certain measures and strategies which may yield sizeable benefits once normalcy returns, it added.

Shares of Symphony Ltd settled at Rs 841.55 on BSE, down 0.78 per cent.