India: JBF Industries posts lower profits in Q1, FY 2013-14

Company Performance

India: JBF Industries posts lower profits in Q1, FY 2013-14

JBF Industries, one of the leading polyester value chain companies in India, has posted a net loss of Rs 410.8 million during the first quarter of the financial year, according to the company’s statement of consolidated unaudited financial results. During the corresponding quarter of the previous fiscal, the company had earned a net profit of Rs 337 million.

In the preceding three months, that is, January-March, net profit amounted to Rs 5.1 million. The company had posted a net profit of Rs 1.13 billion during the previous financial year.

Net sales during April-June 2013 stood at Rs 20.93 billion, same as during the preceding three months, and about 16% higher than in the corresponding three months. The company’s performance has been impacted mainly due to the higher finance costs, and the currency volatility.

Meanwhile, the company’s green field projects are progressing satisfactorily. At Bahrain, the company’s first line of 90,000 tpa polyester film project, executed through JBF Bahrain SPC is undergoing trial production, and all lines are expected to be commissioned by June 2014.

JBF’s 390,000 tpa PET project in Geel, Belgium, is expected to be commissioned by March 2014. And its 1.25 million tpa PTA project at Mangalore is expected to be complete by the first half of 2015. The company informs that major engineering activities have been completed and construction activities should commence by next quarter. However, its 500,000 tpa bio-glycol project in Sao Paulo Brazil has been put on hold.