The share price of Trident Ltd dropped 6 percent on May 25 morning, a day after the company reported a 28.4 percent year-on-year drop in net profit at Rs 129.7 crore in the March quarter of the financial year 2022-23
The towel-to-paper maker's revenue from operations for the January-March quarter stood at Rs 1,573.2 crore, a decline of 15.9 percent from Rs 1,869.8 crore in the year-ago period.
On the operating front, Trident Ltd’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) for the fourth quarter came in at Rs 268.4 crore, a fall of 20.5 percent from the same quarter of the previous year.
The company's board declared the first interim dividend of Rs 0.36 per fully paid-up equity share of Rs 1 each for the financial year 2023-24. The dividend will be credited to the shareholders as per the prescribed statutory timelines, Trident told stock exchanges.
The board also recommended raising up to Rs 500 crore through non-convertible debentures (NCDs), by way of public or private offering, in one or more tranches, on the approval of shareholders. The Punjab-based company operates in home textiles, yarns, papers, and energy segments.
Sluggish domestic sales for Trident continue from the last quarter, when India’s textile industry faced cuts in customer spending on inflationary pressures and saw a decline in exports for five straight months.
Revenue from its yarn segment fell 34 per cent, while the towel and bedsheets businesses posted approximate declines of three percent and four percent, respectively. However, the company’s paper and chemicals arm rose 22 per cent.
At 9.48 am, Trident Ltd was trading 5.47 percent lower at Rs 32.85 on National Stock Exchange.
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