Backed by better sales realisation and exports, Ruchi Soya Industries Limited saw its net profit for the second quarter of FY 2012-13 gallop by as much as 1,637.87 per cent at Rs 65.66, as against just Rs 3.78 crore in the corresponding period last year.
While the company's Q2 net sales of Rs 5,391.33 crore declined by 11.52 per cent from Rs 6,093.13 crore during the corresponding period last fiscal, Ruchi Soya's sale of branded products rose by six per cent to Rs 1,481.27 crore this quarter from Rs 1,397.26 crore last year.
"Better sales realisation of soya extraction and exports and favourable business sentiments towards the end of the quarter helped us to get profit on the track. Price parity was also restored in the import of crude oil and refining business as the Government of India has eliminated taxation anomalies since August 2012," said Dinesh Shahra, managing director of Ruchi Soya Industries Limited while commenting on the second quarter results.
Similarly, seed extraction sales for the company were recorded at Rs 1,310.40 crore, up by 72.77 per cent from Rs 758.47 crore, while sale of textured soya protein (TSP) stood at Rs 44.87 crore, registering a rise of 52.40 per cent from Rs 29.44 crore during Q2 in the last fiscal.
During the first six months of the FY 2012-13 that ended on September 30, 2012, net sales stood at Rs 10,370.34 core, registering a marginal decline of 13.55 per cent from Rs 11,996.36 crore during the corresponding period in the last fiscal. However the net profit at Rs 108.27 crore, was up by 54.80 per cent from Rs 69.94 crore during the corresponding H1 in the last fiscal.
Meanwhile, talking about the near future, Shahra said, "With the highest ever soya crop in the current season in India, we are expecting better utilization of our crushing capacities. Also the business sentiments improving, we are hopeful about achieving better utilisation of our refining facilities at port based locations. We are thus hoping our financial performance to be far better during the current fiscal."
