Century Textiles Skids On Dismal Q1 Performance

Company Performance

Century Textiles Skids On Dismal Q1 Performance

Century Textiles & Industries reported consolidated net loss of Rs 36 crore in Q1 June 2020 compared with net profit of Rs 69 crore in Q1 June 2019. On a consolidated basis, net sales slumped 54% to Rs 393.86 crore in Q1 June 2020 over Q1 June 2019. Pre-tax loss stood at Rs 48.43 crore in Q1 June 2020 as against pre-tax profit of Rs 114.59 crore in Q1 June 2019. EBITDA tanked 84.29% to Rs 30 crore in Q1 June 2020 as against Rs 191 crore in Q4 March 2020. However, the company expects to see clear signs of revival from the second half of this financial year across businesses. All businesses have taken decisive steps to re-calibrate to the new normal, it said. The textiles business achieved capacity utilisation of 50%, mainly due to fulfillment of US export orders. Commenting on the Q1 results, JC Laddha, Managing Director of Century Textiles & Industries stated: "This was a challenging quarter and while we recoup from the impact of the pandemic, our focus remains on creating value for our stakeholders. We are focussing on digitalisation and customer connect during these trying times. We are also capitalising on the opportunities the pandemic has opened up for our businesses. We have seen high demand for our health-based product line of masks at Birla Century and the board segment in Pulp and Paper business. Real Estate has also seen a spike in enquiries and encouraging sales during this difficult period which is a testimony to the power of the brand."