Parag Milk Foods today posted an over 86 per cent jump in consolidated net profit at Rs 29.95 crore in the fourth quarter ended March, on robust sale of fresh milk and skimmed milk powder (SMP). The company had reported a net profit of Rs 16 crore in the same quarter of 2015-16, it said in a BSE filing.
Net revenue increased to Rs 428.3 crore in the January- March quarter of 2016-17 financial year from Rs 414.2 crore in the year-ago period. The income from fresh milk rose by 10 per cent driven by rise in volume and prices, while revenue from SMP increased by 49 per cent on improved realisation in the market, Parag Milk Foods said.
Whereas, the revenue from milk products de-grew by 10 per cent primarily due to impact of the price increase, it noted. For the full year 2016-17, the company’s net profit dropped by 63.8 per cent to Rs 17.13 crore from Rs 47.32 crore in the last year. Its net income increased to Rs 173.07 crore from Rs 164.52 crore in the said period.
Parag Milk sells its products under four brands — ‘Gowardhan’, ‘GO’, ‘Pride of Cows’ and Topp Up’. During Q4, it launched two new brands ‘Milkrich’ and ‘Avvatar’ for its dairy whitener and whey protein powder categories.
The company has a milk processing capacity of 2 million litres per day and raw cheese capacity of 40 tonnes per day. The company procures milk from 29 districts in Maharashtra, Andhra Pradesh, Karnataka and Tamil Nadu. The average daily procurement is about 1.2 million litres. Shares of the company ended 4.72 per cent down at Rs 238.30 on BSE.