Business

MRF Q1 net skids 30% to ₹112 cr. on rising raw input costs

On Tuesday, the board of MRF approved raising of funds through the issuance of non-convertible debentures on private placement basis aggregating to ₹100 crore in one or more tranches.

On Tuesday, the board of MRF approved raising of funds through the issuance of non-convertible debentures on private placement basis aggregating to ₹100 crore in one or more tranches. | Photo Credit: Jaishankar P@Chennai

Tyre major MRF Ltd. has reported a more than 30% drop in standalone net profit for the first quarter to ₹112 crore following a sharp increase in raw material costs.

Revenue from operations jumped 36% to ₹5,599 crore while other income contracted to ₹34 crore from ₹92 crore, the firm said in a statement.

Total expenditure rose 37% to ₹5,481 crore, of which raw materials rise accounted for 26% at ₹4,043 crore. Other expenses rose to ₹918 crore from ₹723 crore.

Revenue from operations included a subsidy of ₹7.12 crore received from State governments.

MRF said that the economic crisis in Sri Lanka led to currency devaluation resulting in remeasurement loss of of ₹2.60 crore on consolidation of its wholly owned subsidiary MRF Lanka Pvt. Ltd.

On Tuesday, the board approved raising of funds through the issuance of non-convertible debentures on private placement basis aggregating to ₹100 crore in one or more tranches.


Our code of editorial values

  1. Comments will be moderated by The Hindu editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.

Printable version | Aug 9, 2022 6:59:15 pm | https://www.thehindu.com/business/mrf-q1-net-skids-30-to-112-cr-on-rising-raw-input-costs/article65750220.ece