Brij Mohan Khaitan’s bulk tea company, McLeod Russel India, has recorded a net profit of Rs 7.08 crore in the quarter ended June 20,2008, a dip of 69.81 per cent from the previous year’s profit which included a profit of Rs 23.26 crore on account of sale of property.
Operating EBIT was at Rs 25.77 crore was however higher by 360.18 per cent, on the back of higher selling price. Tea prices during the quarter were at Rs 104.87 per kg compared to Rs 88.52 per kg in the same period last year. Total income during the quarter was at Rs 105.67 crore, an increase of 6.37 per cent.
The company expects higher prices in the coming quarters on account of shortages in global tea market and strong consumption in the domestic market.