Century Textiles and Industries Ltd., a part of the Aditya Birla Group, has reported a drop of 38 per cent in the company’s third quarter profit. This was a result, in part, of its weakening textile business.
In textiles, the company offers suitings and shirtings to fine fabrics and household linen products.
The consolidated net profit of the company fell from Rs. 14.15 crore in the third quarter of last year to Rs. 8.72 crore in the three months ended on 31st December 2022.
The revenue of the company from home textile business fell by 9 per cent to Rs. 250 crore which also accounted for 22 per cent of the total revenue for the company.
According to the company, sales volatility of garments and fabrics occured due to higher input prices and it further added that although the demand in its domestic markets remained stable, exports for the company took a hit as a result of recessionary concerns.
The company’s other businesses in paper and pulp as well as real estate helped in revenue generation despite incurring losses in the latter.
The shares of the company fell sharply after the results were announced and the consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA) dropped down by 13.3 per cent to Rs. 91 crore.
