Mumbai: “Personal care products maker Jyothy Laboratories Ltd posted a 38% fall in net profit during the quarter to September, hit by higher oil prices,” an official said.
The maker of ‘Ujala´ branded fabric whitener posted a net profit of Rs50.95 million on net sales of Rs874.26 million during its first quarter. Net sales grew 16.6%.
‘Ujala´ brings in about 40% of the company’s revenues. The company, which also makes household insecticides, surface cleansers and personal care products, follows a July-June financial year.
“The fall has been because gross margin has been hit by 10 percentage points due to raw material prices,” Neetu Kashiramka, assistant general manager-finance said.
“In the next quarter it should settle,” she said refering to the October-December quarter.
Crude oil, used for packaging and production of detergents, has seen a 45% drop in prices from record highs hit in July.
Revenue from soaps and detergents grew 11% to Rs496.1 million but profit before tax and interest for the segment fell 48% to Rs77.5 million.
Revenue from home care products grew 32% to Rs379 million while the segment posted a profit before tax and interest of Rs4.7 million from a loss of Rs11.8 million in the year-ago quarter.
Shares in Jyothy Laboratories were 3.3% lower at Rs261.05 in a weak Mumbai market.