Kamdhenu profit up on higher royalty income

The net profit of TMT bar manufacturer Kamdhenu Ltd for Q3-FY'19 was Rs 5.42 crore, up from Rs 4.12 crore over the corresponding period last year despite lower sales on account of higher royalty income.

The company said revenue de-grew by 21 per cent to Rs 242 crore during the quarter under review as compared to Rs 305 crore in Q3-FY'18 on account of reduced B2B trading sales.

"In the last few months, we have recouped our business strategy by reducing B2B trading sales and focused on improving efficiencies in own manufacturing and on franchisee based business," Kamdhenu Chairman & Managing Director Satish Kumar Agarwal said.

"We are leveraging our strength of asset light business model, strong brand royalty and large distribution and marketing network. This will further lead to increased margins and better efficiencies with higher RoE and