GHCL Ltd Faces Profit Decline Amid Import Challenges

GHCL Ltd reported a 32% drop in net profit for the September quarter, affected by lower sales and cheap imports. The company's revenue decreased along with expenses. GHCL plans to diversify into bromine and vacuum salt and is considering steps to counteract import pricing pressures.

On Saturday, GHCL Ltd announced a significant 32% decline in their consolidated net profit, reaching Rs 106.70 crore in the September quarter, largely due to decreased sales and competitive pricing from inexpensive imports.

The previous fiscal year's figures showed a net profit of Rs 154.83 crore during the same July-September period. Total income also witnessed a fall to Rs 738.32 crore from Rs 810.23 crore, coupled with expenses dropping slightly from Rs 613.90 crore to Rs 593.79 crore.

Managing Director R S Jalan addressed the results, highlighting the substantial challenge of cheap imports affecting pricing and revenue. Nevertheless, GHCL continues to focus on cost optimization to safeguard margins. The firm is diversifying into bromine and vacuum salt, with significant contributions expected soon. Moreover, potential Anti-Dumping Duty (ADD) on Soda Ash could alleviate pricing pressures.

(With inputs from agencies.)