Mumbai: Steel and machinery maker Mukand Ltd’s consolidated net profit for the year ended March 2008 fell 45% on rising input costs of coking coal, iron ore and fuel oil, the company said on Tuesday.
“Although the company did increase selling prices of its products, the time lag in effecting this price rise has affected the margins,” it said in a statement.
Mukand posted a net profit of Rs536.39 million on net sales that rose 6.3% to Rs19.42 billion in the year. In 2006-07 it logged a net profit of Rs971.53 million.
"Export revenues increased 27% to Rs1.75 billion and the company plans to continue to expand its presence overseas,” it said.
Its industrial machinery division had orders worth Rs5.8 billion at the close of the year for heavy duty cranes and process plant equipment. Shares in the company fell 2.2% to Rs88.15 rupees in a weak Mumbai market.