Akzo Nobel India Ltd has reported a consolidated net loss of Rs 20.26 crore for the June quarter due to lower volume and demand impacted by lockdown. The company had posted a net profit of Rs 57.14 crore in the same quarter last year.

 

Its revenue declined by 64% over the previous year and stood at Rs 258.5 crore, mainly due to a shutdown until mid-May in most parts of the country and a gradual revival since then.

 

Company's total expenses were at Rs 291.57 crore during the first quarter of 2020-21 as against Rs 639.04 crore in the year-ago period.

 

Commenting on the performance for the quarter, Rajiv Rajgopal, Managing Director, AkzoNobel India, said: "Business came to a standstill in April due to a complete lockdown, the partial resumption in May and Unlock 1.0 being announced in June. Demand from automotive, infrastructure, oil and gas and construction segments was heavily impacted.

 

Metros and large towns continued to see a relatively higher impact from the pandemic, resulting in slower offtake of the premium segments where we have a higher salience. Tier 2 and Tier 3 markets have performed relatively better.

 

During the quarter, we achieved a significant reduction in operating costs which led to a resumption of profits in June. We will continue to manage the uncertain environment and volatility with a focus on costs and driving recovery in the build-up to the festive season. Our focus on safety and the well-being of our employees - as well as other stakeholders - continues to be a top priority."