Goodricke estimates lockdown disruption loss at Rs 60.9 cr

The sales and distribution channels in all the operating segments have also regained normalcy to a large extent. The company informed the bourses that tea prices are up by 30 per cent over of the previous year, which is expected to offset the crop loss impact to some extent.

Premium tea maker Goodricke Group on Thursday estimated a revenue loss of Rs 60.9 crore during the lockdown period and Covid-19 related disruptions till June 15. The company said it suffered an estimated crop loss of 2.3 million kgs till June 15 as compared to the corresponding period in the previous year.

"The estimated revenue loss for the company amounts to Rs. 60.9 crore and is based on last years prices," a company official said. Goodricke said all the tea estates in Assam and West Bengal have started operating with 100 per cent workforce from June 1. The sales and distribution channels in all the operating segments have also regained normalcy to a large extent.

The company informed the bourses that tea prices are up by 30 per cent over of the previous year, which is expected to offset the crop loss impact to some extent. However, the impact of COVID-19 on the year's profitability is difficult to predict with reasonable certainty due to the nature of business and would largely depend on how tea prices behave during the remaining part of the year.

The company continues to conserve cash during this period of uncertainty by reducing operating and capital expenditure across all levels. The Goodricke management said it continues to monitor the situation and is implementing various precautionary measures across the producing locations.

Meanwhile, the company posted a loss of Rs 53.23 crore for the January-March 2020 quarter against the loss of Rs 49.51 crore registered in the same quarter last year..