Welspun India Q3 net falls 47.07% to Rs 79.51 crore
The company said its income declined on account of volume decline due to customer destocking, coupled with GST impact on duty drawback
Home textiles firm Welspun India today reported a 47.07 per cent decline in consolidated net profit at Rs 79.51 crore for the third quarter ended December 2017.
It had posted a net profit of Rs 150.24 crore in the same period of the last financial year.
Total income in the quarter under review stood at Rs 1,414.3 crore, down 7.06 per cent, compared with Rs 1,521.82 crore in the same period last year, Welspun India said in a BSE filing.
The company said its income declined on account of volume decline due to customer destocking, coupled with GST impact on duty drawback.
Commenting on the result, Welspun Group Chairman BK Goenka said: "We have been taking steps to be prepared for future in terms of our brands, channels, innovation, traceability solutions, sustainability solutions and many other areas".
In August 2016, US retail giant Target Corporation terminated contract with the Gujarat-based textiles maker over alleged lapses in its products supply.
Following this, Walmart stopped selling Welspun India's Egyptian cotton products. Welspun India had, later, appointed consultancy firm Ernst & Young to look into the alleged lapses.