Textile firm Trident Ltd., posted a nearly 25 per cent drop in its third-quarter profit, hurt by a rise in expenses, even as consumers bought more home linen during the festive season.
Trident, whose main raw material is cotton, reported that its overall costs increased by 16 per cent for the quarter that concluded on 31st December, with raw material costs rising by almost 9 per cent. The company supplies products to department stores such as Shoppers Stop, D-Mart and Walmart.
The third quarter in India coincided with the festival season, during which time customers spent more on linens for their homes, such as bedsheets. Trident was able to claim a 12 per cent increase in sales to $220.99 million as a result.
The company reported that while its towels section had an 8 per cent decline in revenue, its yarn and bedsheets segments saw increases of roughly 25 per cent and 36 per cent, respectively. All three segments made up 86 per cent of the total revenue.
