Hindusthan National Glass reports lower net profit of Rs 26.09 crore in Q1

KOLKATA: Hindusthan National Glass & Industries (HNG) reported a lower net profit of Rs 26.09 crore in the first-quarter (Q1) ended June 30, 2011, compared to Rs 31.34 crore net in the corresponding quarter previous year. Company officials attributed the quarterly performance to increased input costs of power and fuel, and rising interest rates. 

Net sales during the said quarter was up by 18% at Rs 431 crore against Rs 364 crore in the earlier corresponding quarter. 

Elaborating on the results, HNG vice chairman & managing director Mukul Somany said: "Revenues for the quarter improved due to healthy demand and our ability to pass on price hikes to end users.. We were able to improve capacity utilisation of the newly acquired German firm Agenda Glas AG's unit. This will enhance cost efficiencies and enable us to turnaround this facility in a short span. We are inching forward to double the company's existing capacity of 3250 tonnes per day through greenfield and brownfield expansions over the next four years. This will further consolidate our position as the leading player in the organised container glass segment." 


Further Somany added, "we expect growth in our numbers in the next phase, especially due to the rise in demand from the growing user industry, that is liquor, pharmaceutical, food & beverage segments."