JK Paper today reported over 50.9 per cent increase in its stand-alone net profit at Rs 27.3 crore for the fourth quarter ended March 2016.
The company had posted a net profit of Rs 18.1 crore in the same period last fiscal, JK Paper said in a BSE filing.
Net sales on the stand-alone basis was up 14.4 per cent during the quarter under review at Rs 657.7 crore as against Rs 575.06 crore in the same period last fiscal.
"The significant operational improvement in performance is due to the substantial benefits derived from the company's new state-of-the-art pulp and paper plant at its Odisha unit, coupled with growth in market share in its mainstay office papers business and a richer product mix," said JK Paper Chairman and Managing Director Harsh Pati Singhania.
He added that the company has been able to increase its exports despite tough overseas markets.
JK Paper would raise foreign currency convertible bond of around USD 25 million (approximately Rs 166 crore) to meet its capital expenditure and payment of the external commercial borrowings (ECBs).
"As part of the company's ongoing fund-raising programme, the company has decided to issue FCCBs not exceeding USD 25 million. The proceeds will be used for repayment / pre-payment of existing ECBs/FCCBs and to meet capital expenditure," Singhania said.
For the year ended March 2016, JK Paper reported a consolidated net profit of Rs 72.9 crore. It had a net loss of Rs 18.39 crore in the same period a year ago.
Consolidated net sales for 2015-16 increased 13.5 per cent to Rs 2,427.7 crore from a year ago.
Meanwhile, in a separate filing, JK Paper has informed BSE that its board at a meeting held today has recommended payment of dividend of Re 0.50 for 2015-16.
The stock today settled at Rs 51.30 on BSE, down 0.10 per cent from its previous close.
