FMCG firm Emami on Friday reported flat profit and drop in revenue owing to coronavirus induced shut down of manufacturing facilities and operations during the early part of the April-June quarter of fiscal 2020-21. Emami reported a 1.2 per cent rise in consolidated profit after tax at Rs 39.6 crore in Q1FY21 as against Rs 39.1 crore in the corresponding period of last year.
Revenue from operations saw a fall of 25.8 per cent at Rs 481.8 crore in the first quarter of FY21 as against Rs 648.6 crore in the corresponding quarter of last year. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) fell 39 per cent to 123 from 134.1 in the same quarter last year. Margin rose to 25.5 per cent from 20.7 per cent.
"Sales volume for the quarter ended June 30, 2020 has been impacted and therefore, the results of this quarter are not comparable to previous corresponding period results. The management has assessed its liquidity position as on June 30, 2020 and does not anticipate any challenge in the Company's ability to continue as a going concern including recoverability of the carrying value of its property, plant and equipment and intangible assets. The impact of the pandemic in the subsequent periods is highly dependent on the situations as they evolve, and hence eventual impact may be different from that estimated as at the date of approval of these financial results," Emami said.
Shares of Emami were trading at Rs 252, up 13.90 points, or 5.84 per cent on NSE at the time of reporting.Also read: Coronavirus update: This new drug dramatically recovered seriously ill COVID-19 patients