Welspun India, the flagship company of US $ 2.3 billion Welspun Group, has announced its consolidated financial results for the first quarter ended June 30, 2017.
During the period under review, the home textile supplier’s consolidated net profit declined by 38.39 per cent to Rs. 128.56 crore from Rs. 208.68 crore in the same period last year. The drop in consolidated net profit is seen as an outcome of lower income and higher expenses. This was stated by Welspun in a press release issued.
Total income during the first quarter of the current financial year also dropped by 3.65 per cent to Rs. 1,552.64 crore as compared to Rs. 1,611.49 crore in the corresponding period of 2016.
“Average margins in the first quarter has happened due to the execution of some niche orders in Americas and MENA regions. In our view, it will be difficult to sustain such margins on an annual basis. We continue to take various measures for further strengthening our capabilities while maintaining financial discipline,” stressed B K Goenka, Chairman, Welspun Group.
Despite a disappointing first quarter, Welspun is hopeful of strong demand in the year ahead. This is evident from the strong order booking during the quarter. It also expects acceleration in international demand towards the end of FY 2018.
