Gross Sales of Coimbatore Based KPR Mills Rose 15.92% on Sequential Basis

While, gross sales of Coimbatore based KPR Mills rose 15.92% on sequential basis, when compared with the second quarter of fiscal 2013-14, it zoomed 34.25% from Rs. 351.18 Cr to Rs. 471.47 Cr on a year on year basis.

The operating profit has increased from Rs. 102.65 Cr to Rs. 110.5 Cr while the operating profit margin has dipped 413 basis points to 23.09% as compared to 27.22%. This is mainly on account of 43% rise in both - raw material and salary expense.

The raw material cost as percentage of operating income has increased from 65.23% as against 69.25%. The company has also increased the remuneration of its top management personnel resulting in a rise in salary expense from Rs. 19.18 Cr (Q2 FY 13) to Rs. 27.50 Cr (Q2 FY 14).

Consequently, the net profit margin has also reduced from 9.91% as compared to 8.66%. Interest cost has registered a marginal decline, which has resulted in improvement in profit after tax of Rs. 41.44 Cr vis-à-vis Rs. 37.36 Cr.  

Established in 1984, Coimbatore based KPR Mill Ltd is a leading integrated textile mill in southern India, producing various types of yarns, fabrics and knitted garments, which is produced in seven manufacturing facilities.