DCM Shriram Ltd Q2 net zooms to Rs 46.30 crore

DCM Shriram today reported a sharp rise in consolidated net profit at Rs 46.30 crore for the quarter ended on September 30, 2014, against Rs 1.41 crore in the year-ago period, on the back of lower expenses and finance cost.
However, total income from operations during the July-September quarter of 2014-15 fell to Rs 1,428.46 crore, from Rs 1,689.86 crore in the year ago period, the company said in a statement.
Its total expenses came down to Rs 1,373.95 crore in the quarter under review from Rs 1,652.24 crore in the year ago period.
Finance cost came down to Rs 29.82 crore from Rs 42.29 crore during the period under preview.

Net profit also includes one-time positive impact of Rs 15.85 crore relating to write back of tax provisions of earlier years, the statement added.
"We are pleased to report a stable operating performance across all businesses, except sugar business. Sugar business continues to be a concern area. There is a strong need for a rational cane pricing system in UP," Company's Chairman and Senior Managing Director Ajay Shriram said.

DCM Shriram Vice Chairman and Managing Director Vikram Shriram said that the Uttar Pradesh government has not finalised its views on the matter, which is badly hurting the sugar industry and cane farmers. There is a need to address this issue on an immediate basis.

"Our healthy cash flows and focus on reducing debt has also positively impacted the profitability by lowering the finance costs and strengthened our financials," Vikram Shriram said.
Shares of the company closed at Rs 227.95 apiece on BSE up by 1.36 per cent.