Diversified firm Aditya Birla Nuvo today reported 52.34 per cent decline in consolidated net profit to Rs 130.33 crore for the March quarter, hit by higher input cost and loss by associate as well as joint venture companies. The company had posted a consolidated net profit of Rs 273.50 crore in the January-March quarter of the previous fiscal, 2015-16, Aditya Birla Nuvo Ltd (ABNL) said in a BSE filing.
Total expenses during the fourth quarter of 2016-17 grew 16.93 per cent to Rs 4,129.30 crore compared to Rs 3,531.31 crore in the year ago period. The decline in profit was attributed to the cost of materials which increased by 6.27 per cent in the quarter under review to Rs 736.42 crore compared to Rs 693.19 crore in the year-ago period.
The company also faced losses to the tune of Rs 56.72 crore from its associate and joint venture companies during the quarter under review as against the profit of Rs 130.42 crore in the year-ago period. For the entire last fiscal, the company reported a 41.61 per cent dip in consolidated net profit to Rs 957.62 crore as against Rs 1,640.08 crore in 2015-16.
The company said its full year net profit has been impacted due to reduction of its share in Idea Cellular’s net profit by Rs 727 crore. With regard to Idea Cellular’s poor fourth quarter results, the company said it was “impacted due to free voice and mobile data services by the new entrant in the sector, coupled with higher interest and amortisation cost”.
The company reported total expenses st Rs 13,692.40 crore for the 2016-17 fiscal while it stood at Rs 12,634.06 in the previous fiscal. Idea Cellular had reported a consolidated loss of Rs 325.6 crore in the three-month period ended March 31, 2017. The company had posted a profit of Rs 449.2 crore in the same period a year ago.