Kwality net profit increase to Rs 38 crore for September quarter

Kwality, dairy firm reported a 4 per cent increase in standalone net profit at Rs 37.89 crore for the September quarter. The company had posted a net profit of Rs 36.56 crore in the year-ago period, reported PTI.

Total income from operations grew over 10 per cent to Rs 1,432.96 crore for the quarter under review as against Rs 1,296.92 crore in the corresponding period of the previous fiscal, said Kwality in a regulatory filing.

Finance cost increased to Rs 39.43 crore for the quarter from Rs 30.49 crore in the year-ago period, while tax expenses rose to Rs 12.29 crore in the period under review from Rs 5.84 crore in the year-ago period.

"The financial results for this quarter are in line with the company's strategy of achieving profitable growth. Our persistent focus on customers and quality of our products has helped us to take on the margin pressures, which resulted in the overall positive performance of the company," said Sanjay Dhingra MD at Kwality.

He further says, the company is aggressively eyeing the retail market, which is sure to further propel the growth of the company.

"The work at our plant is on full momentum and we are confident to have the same ready as per the plan. Going forward we see better margins as we intend to introduce new value added products across geographies in phased manner", said Sunit Shangle CFO of Kwality.

With six milk processing units in Uttar Pradesh, Haryana and Rajasthan, Kwality caters to retail customers under its own brand 'Dairy Best' and supplies dairy products to institutional customers, which includes MNCs and Indian firms.

Recently, the firm secured rights from its founding father PL Lamba to use the 'Kwality' artwork for its dairy products and beverages.