DCM Shriram on Tuesday reported 69 per decline in consolidated net profit to Rs 69.1 crore for the quarter ended June 30, mainly due to higher expenses.
Its net profit stood at Rs 221.07 crore in the year-ago period.
Diversified group DCM Shriram is into sugar, fertilisers, seeds and chloro vinyl businesses, among others.
Total income rose to Rs 1,938.44 crore in the first quarter of the current fiscal, from Rs 1,926.6 crore in the same period previous year, according to a regulatory filing.
Its expenses in the quarter under review increased to 1,848.62 crore, compared to 1,639.52 crore in the same period last year "We are operating in a tough economic environment which continues to be uncertain given the COVID-19 pandemic," Ajay Shriram, Chairman & Senior MD, DCM Shriram, said.
The company's efforts over the last couple of years in terms of optimising costs, enhancing scale and integration along with diversified businesses have ensured stability in businesses, its Vice Chairman & MD Vikram Shriram said.
The company's agri businesses have strengthened over the period with investments in sugar towards forward integration and rationalisation of loss making verticals in bioseed and Shriram farm solutions, said Ajay Shriram.
The normal monsoon augurs well for the company's agri businesses.
"Our Chloro-vinyl businesses have been adversely impacted during the period in terms of volumes as well as prices. We are working towards maximizing volumes by increasing our customer base and market penetration. We expect that over next few quarters as the economic activity improves, the volumes and prices will improve," Vikram Shriram said.
