Arvind Ltd, one of the largest integrated textile players, has posted a net profit of Rs 15.39 crore for the quarter ended March 31, compared to a loss of Rs 20.43 crore a year earlier. Net sales, however, were down by 7.76 per cent at Rs 556.84 crore, compared to Rs 603.67 crore.The overall improvement in operations, higher volumes following robust demand across all product segments, lower energy cost as a result of availability of gas for power generation and favourable exchange rate helped the company to post profit.
Denim fabric business grew 40 per cent in volume terms. While the volume growth was 16 per cent in the domestic market, it was 72 per cent in export markets. For 2009-10 financial year, net profit jumped to Rs 52 crore, against a net loss of Rs 47.87 crore last year. Net sales stood at Rs 2,276.95 crore, compared to Rs 2,327.20 crore.
“The finance cost dropped to Rs 155 crore, as against Rs 220 crore, due to mark-to-market gain on foreign currency borrowings of Rs 22 crore, compared to a loss of Rs 63 crore in the previous year,” said the company in a statement.
