Dairy firm Kwality Ltd today posted a 34.06 per cent drop in net profit at Rs 27.87 crore in the first quarter ended June 30, 2017.
Net profit stood at Rs 42.27 crore in the same quarter of last year, the company said in a BSE filing.
The net profit took a beating as the company's expenses including finance cost rose to Rs 1,536.96 crore in the April-June period of the current fiscal from Rs 1,418.92 crore in the year-ago period.
Whereas, the total income remained higher at Rs 1,573.18 crore in the quarter under review from Rs 1,482.48 crore in the year-ago period.
Commenting on the performance, Kwality President Nawal Sharma said that its B2C business witnessed a growth of 11 per cent on year-on-year basis in the first quarter, driven by higher volumes of fresh products.
The company has plans to launch new value-added products in the coming quarters, he added.
Kwality has six milk processing plants in North India with a capacity of 4.3 million per day. It procures milk from Uttar Pradesh, Haryana and Rajasthan farmers through a procurement network of 3.5 lakh families.
Shares of the company ended 2.74 per cent up at Rs 138.90 on BSE.
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