Shree Renuka Sugars Dec qtr Net falls by 75% to Rs 66.4 cr

MUMBAI: Shree Renuka Sugars Ltd (SRSL), the country's largest sugar refiner, on Friday said its consolidated net profit fell by 75 per cent to Rs 66.4 crore for the quarter ended December 31, 2010, as higher costs offset a rise in sales.

The company had posted a net profit of Rs 260.9 crore in the corresponding period of 2009, SRSL said in a filing to the Bombay Stock Exchange (BSE).

Net sales rose by over 57 per cent to Rs 2,247 crore from Rs 1,428.7 crore in the same period last fiscal, but total costs rose significantly by 82.32 per cent to Rs 1,946.5 crore from Rs 1,067.6 crore in the review period, it said.

The consolidated results include the company's operation in Brazil. SRSL acquired a majority stake in Brazilian company Group Equipav's sugar business in 2010. It also bought Brazil-based sugar and ethanol production company Vale Do Ivai SA Acucar E Alcool in November, 2009.

Shares of the company closed today at Rs 84.60 on the BSE, down 1.40 per cent from its previous close.