Indo Rama Synthetics reports Rs 44 cr Q2 loss

Polyester manufacturer Indo Rama Synthetics India today reported widening of its standalone net loss to Rs 43.90 crore for the September quarter.
The company had posted a net loss of Rs 16.02 crore in the corresponding period a year ago, Indo Rama Synthetics said in a statement.
Total standalone income from operations declined by 13.49 per cent to Rs 632.21 crore during the quarter under review as against Rs 730.86 crore last fiscal.
"Although our revenue has gone down, but our sales have gone up by 25 per cent in the domestic market to 80,693 tonnes compared with 73,942 tonnes in the corresponding quarter of the previous year.

"We have penetrated in the domestic market as we launched new products in the market and it would continue," Indo Rama Synthetics Chairman & Managing Director O P Lohia told PTI.
However, sales was lower in the export markets due to sluggish global demand, he added.

Domestic availability of PTA (raw material) has improved and it has helped the company and the falling price of crude oil globally to USD 40 per barrel has helped the company in reducing prices.
"In the last one year we have reduced around 30 per cent price. This quarter, it would be around 10-15 per cent," Lohia said adding that it would help in increasing the sales volume of the company.

For the six months ended September 30, Indo Rama's posted a net loss of Rs 38.99 crore on standalone basis. It had a net profit of Rs 6.03 crore in the same period of the last fiscal.
Its total income from operation during the first half of the current fiscal was down 12.04 per cent to Rs 1,274.69 crore from Rs 1,449.33 crore in the year-ago period.
Over the outlook, Lohia said: "It would be much better than the last half and would be positive. We would not have any losses in next six months".