Usha Martin Q2 net dips 96 per cent

KOLKATA: Wire rope manufacturer Usha Martin today posted a sharp 96 per cent decline in net profit to Rs 86 lakh for the quarter ended September 30, 2013, as against Rs 22.85 crore in the same period last year.

Net sales of the company during the quarter declined marginally to Rs 927.17 crore, as against Rs 938.98 crore in the previous corresponding quarter.

Usha Martin MD Rajeev Jhawar told reporters here that the sharp drop in net profit was due to high interest costs and slowdown in the steel and automobile sectors.

He said once the pellet, coke oven and waste heat plants were put into stream, then the company would achieve cost competitiveness, which would in turn, add to the topline and bottomline.

Jhawar said Usha Martin had recently entered the Chinese market for distribution of high-end wire ropes.