Jyothi Laboratories net profit declines 29% to Rs 76 crore in Q4

Jyothy Laboratories, a homegrown FMCG firm has reported 29% decline in net profit to Rs 76 crore for the fourth quarter of the financial year 2017-18 ending March 31 as compared to Rs 107 crore it posted during the corresponding period last year.

According to the company, the fall in net profit was due to tax reversal on setoff losses of JCPML (Erstwhile Henkel Marketing India) with Jyothy Laboratories in the financial year 2017.

The company reported net revenue of Rs 527 crore during the quarter under review, a jump of 17 percent over Rs 441 crore it posted a year earlier.

Jyothy Laboratories reported net revenue of Rs 1,764 crore for the year ended March 31, 2018 as against Rs. 1,656.3 crore of previous fiscal, up by 6.5 percent. Net profit for the year stood at Rs 179 crore compared to Rs 204 crore of previous fiscal.

M P Ramachandran, Chairman & Managing Director, Jyothy Laboratories said, “The FMCG sector witnessed uncertainties due to GST and the Demonetization effect. Although the sector had mixed reactions, we at Jyothy Laboratories were sure of its long-term benefits to the sector and the company. Though the first quarter of the year under review was very negative. Second, third & fourth quarters have shown excellent progress and hope to continue the progress in the coming quarter also.”

Ramachandran said, “The significant growth that the company has achieved in the previous quarter has assured us that we are taking necessary steps. The rural and urban demand is expected to grow due to many factors such as predicted good monsoon & initial signs have already kicked in. We will continue to invest on our individual brands and focus upon providing the best quality across categories without compromising margins as stated before.”