Kolkata: Bulk tea major McLeod Russel India on Monday reported a net loss of Rs 17.34 crore for the June quarter as against Rs 28.71 crore during the same a year ago.
However, production during the quarter was higher by 9 lakh kgs to 218 lakh kgs compared to 209 lakh kgs during the same period last year, a company statement said.
It further said India's tea production for the calendar year up to May was lower by 9 million kgs as compared to last year mainly due to loss of production in South India on adverse weather conditions.
On the other hand, tea production in the African region has been higher by 60 million kgs as compared to last year,
it said.
McLeod faced staff cost rise by Rs 27 crore during the quarter on account of revision of wages in tea estates.
Also, the revised operating loss for the quarter of previous year is higher by Rs 18 crore, mainly due to changes in the method of value of inventories, the company stated. Now, "the company's key focus in the coming 10 years will be on strategic tie-ups as well as understanding the present and future tea consumption patterns, besides addressing key challenges facing the sector," Managing Director, Aditya Khaitan said, after the company's AGM here.
"We are reaching a point where McLeod Russel has to redefine itself to remain in business," he said.
Speaking on value-addition, Khaitan said the company could tie up with Eveready or any other partner from whom the company can gain strategically.
Asked about global expansion plans, Khaitan said the company is open to acquisitions if it suits it's objectives but will refrain from unnecessarily straining its interest and debt burden.
"The debt equity ratio should not go up" he added.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
However, production during the quarter was higher by 9 lakh kgs to 218 lakh kgs compared to 209 lakh kgs during the same period last year, a company statement said.
It further said India's tea production for the calendar year up to May was lower by 9 million kgs as compared to last year mainly due to loss of production in South India on adverse weather conditions.
On the other hand, tea production in the African region has been higher by 60 million kgs as compared to last year,
it said.
McLeod faced staff cost rise by Rs 27 crore during the quarter on account of revision of wages in tea estates.
Also, the revised operating loss for the quarter of previous year is higher by Rs 18 crore, mainly due to changes in the method of value of inventories, the company stated. Now, "the company's key focus in the coming 10 years will be on strategic tie-ups as well as understanding the present and future tea consumption patterns, besides addressing key challenges facing the sector," Managing Director, Aditya Khaitan said, after the company's AGM here.
"We are reaching a point where McLeod Russel has to redefine itself to remain in business," he said.
Speaking on value-addition, Khaitan said the company could tie up with Eveready or any other partner from whom the company can gain strategically.
Asked about global expansion plans, Khaitan said the company is open to acquisitions if it suits it's objectives but will refrain from unnecessarily straining its interest and debt burden.
"The debt equity ratio should not go up" he added.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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