Hinduja's Ashok Leyland Q1 profit crashes by 61.7%
Hinduja flagship firm Ashok Leyland on Friday reported a standalone net profit of Rs 111.23 crore for the first quarter ended June 30, 2017.
The commercial vehicles maker had reported a net profit at Rs 290.78 crore in the April-June quarter of the previous fiscal, Ashok Leyland said in a BSE filing.
The company said the results of the quarter are not comparable as it includes the financials of Hinduja Foundries Ltd, which was merged with it effective October 1, 2016.
Ashok Leyland said the profitability of the quarter was lower primarily because of a richer mix and exchange gain on swap contracts in the first quarter of last year.
Total income from operations during the quarter under review stood at Rs 4,552.79 crore. It was Rs 4,569.84 crore during the same period a year ago. Commenting on the results, Ashok Leyland Managing Director Vinod K Dasari said: "Despite all the challenges, our robust market share growth exemplifies the technological leadership of Ashok Leyland."
The quarter includes loss on currency and interest rate swap of Rs 2.67 crore as against a profit of Rs 49.57 crore in the previous year, the company said.
Loss from exceptional items during the quarter stood at Rs 12.56 crore that includes impairment loss allowance on loans to a subsidiary.
On the outlook, the company said: "The next three quarters look promising as the demand is expected to pick up on the back of government spending on infrastructure as well as positive impact of GST." pti