Indian Metals & Ferro Alloys (IMFA) today announced a 71 per cent decline in net profit at Rs 28.74 crore in the June quarter on unplanned shutdown at its Therubali plant in Odisha and mark-to-market provisions.
The company had reported Rs 99.92 crore net profit in the same period last year.
Its revenues also stood lower at Rs 412.53 crore, compared with Rs 426.31 crore in the year-ago period, the company said in a release.
Production of ferro chrome slipped to 46,766 tonne, against 51,798 tonnes in the year-ago period, while the sales stood flat at 48,580 tonne.
Subhrakant Panda, managing director and chief executive officer, IMFA, said, "An unplanned shutdown at our Therubali unit in Odisha and 'mark to market' provision on foreign currency borrowings affected the bottom line."
He said long term price finalisation for the ongoing quarter reflects the positive trend in the ferro chrome industry and, although quarter on quarter volatility may persist, "we expect to post a good performance overall".
IFMA chief operating officer Jayant Misra said the company has brought down its output guidance for FY19 on account of production disruption at Therubali unit followed by a furnace shell puncture due to the unplanned shutdown.
"However, all efforts are being made to get back to full normalcy at the earliest," he added.
The company's stocks rose by 5.62 per cent to Rs 335.30 apiece on the BSE today, against 0.54 per cent increase in the benchmark.
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