New Delhi: Tyre and tubes manufacturer Ceat Ltd posted a 98.6 per cent reduction in its consolidated net profit to Rs 1.38 crore for the April-June quarter due to destocking by trade partners of the GST rollout and advanced expenses.
Ceat stated in a BSE filing that, the corporation had reported a net profit of Rs 103.26 crore throughout the subsequent period of the preceding fiscal. Total expenses throughout the first quarter stand at Rs 1,636.13 crore as next to Rs 1,516.23 in the year before period.
Ceat Managing Director Anand Goenka also conveyed that, April-June Quarter was a challenging one for us as destocking by the channel partners due to the GST and RM prices which hit us at the similar time.
Total income throughout the period reduced to Rs 1,638.95 crore contrast to Rs 1,651.83 crore in the related quarter of previous fiscal. Goenka further added that despite the short term impact of GST, we predict it to bring positive impact for the tyre industry in the long run.