India Glycols Ltd reported a sharp decline in sales as well as profits in first quarter of the current fiscal due to lower volumes caused by Covid-19 impact.

 

Company's net profit declined by 87.54% YoY to Rs 4.26 crore from Rs 34.20 crore in the same period last year.

 

Sales also declined by 55.52% YoY to Rs 385.62 crore from Rs 867.02 crore in Q1FY20. Its key market segment related to industrial chemicals saw the highest drop in revenue and sales was down by 87% YoY.

 

As a result of the nationwide lockdown imposed by the Government of India due to outbreak of Covid-19 pandemic, the business operations of the company were temporarily disrupted at its various manufacturing units impacting production and sales. During the quarter, catalyst was damaged due to shutdown of plant in compliance with the lockdown instructions in relation to COVID-19, issued by the Central and State Governments. Due to which, production at Kashipur plant was affected for 15 days due to change of catalyst, said the company.

 

The company also started producing hand sanitizer at its plants at Kashipur, Uttarakhand and Gorakhpur, Uttar Pradesh.