Mandhana Industries Q4 PAT down 47% to Rs 11 cr on higher yarn prices

MUMBAI: Textiles and apparel manufacturer Mandhana Industries today reported a 47.19 per cent decline in profit after tax (PAT) at Rs 10.89 crore in the fourth quarter ended March 31 compared to the same period last year due to rise in yarn prices.

Net profit in Q4 of FY12 stood at Rs 20.62 crore, the company said in a release here.

Net sales in the quarter under review registered a growth of 59.02 per cent at Rs 520.89 crore from Rs 327.57 crore in the corresponding period last year.

"Overall, the year was full of achievements, though the current quarter reported a subdued growth both in the fabrics and garments segment.

"This quarter (Q4), we have seen an extraordinary rise in yarn prices supported by the expenditure incurred on 'Being Human' (Salman Khan's NGO with which it has inked marketing and distribution pact for clothing products) venture.

"With growth in scale of 'Being Human', softening or consolidation of yarn prices and increase in the prices of our fabrics, we expect an enhancement in our profit levels," Mandhana Joint Managing Director Manish Mandhana said.

For the year ended March 31, Mandhana's PAT stood at Rs 65.34 crore, down from Rs 73.10 crore in FY12.

Net sales rose by 39.07 per cent to Rs 1,363.06 crore from Rs 980.15 crore in the previous fiscal.