Chembond Chemicals Ltd has posted a net loss of Rs.6.12 crore wherein the net sales touched Rs.63.75 crore during the period ended March 31, 2020 as against Rs.78.24 crore in Q4 FY19.

 

Annual net revenue for FY20 was also down by 11% and stood at Rs.271.08 crore as against Rs.305.24 crore in FY19. The company posted net profit of Rs.1.87 crore in the current year as against Rs.17.32 crore in FY2019.

 

The company has now re-entered the metal treatment chemicals business on its own through its wholly owned subsidiary Chembond Material Technologies Private Limited.

 

COVID-19 has impacted normal business operations of the group. Manufacturing, supply chain, cashflows etc. have been disrupted. All plants of the group were shut down on 23rd March 2020 only to restart at considerably lower productivity between 8th April and 25th April. Necessary precautions to ensure hygiene, safety, and wellbeing of all our employees at all plants have been implemented. 

 

Based on current indicators of future economic conditions, the group expects to recover the carrying amount of these assets. The situation is changing rapidly giving rise to inherent uncertainty around the extent and timing of the potential future impact of the COVID-19 which may be different from that estimated as at the date of approval of these results. The group will continue to closely monitor any material changes arising of future economic conditions and impact on its business, stated the company in its exchange filing report.