JK Tyre & Industries reports 22% decline in CNP.
JK Tyre & Industries today reported 22.33 per cent decline in consolidated net profit at Rs 86.19 crore for the third quarter ended December 31, 2016, dragged down by higher raw material prices.
The company had posted a consolidated net profit of Rs 110.97 crore in the same period last fiscal, JK Tyre & Industries said in a BSE filing.
Total income from operations during the period under review stood at Rs 1,986.72
crore as against Rs 1,767.16 crore in the year-ago quarter, up 12.42 per cent.
In the third quarter this fiscal, cost of materials consumer stood at Rs 1,115.14 crore as against Rs 882.5 crore, an increase of 26.36 per cent.
“Unabated increase in the rubber and other raw material prices in the last few months continue to be an area of great concern and will remain a challenge for the tyre industry. We have no option but to revise the selling prices in view of the increasing costs,” JK Tyre & Industries Ltd Chairman & Managing Director Raghupati Singhania said.