KKR drags Kwality to NCLT over Rs 1,200 crore default

डेयरी प्रमुख क्वालिटी लिमिटेड ने कहा कि वित्तीय वर्ष 2018-19 की पहली तिमाही के दौरान इसका शुद्ध लाभ 1.04 करोड़ रुपये हो गया है। कम बिक्री के कारण मुनाफे में भारी गिरावट देखी गई है।

अप्रैल-जून, 2017-18 के दौरान, कंपनी का शुद्ध लाभ 27.87 करोड़ रुपये था। शुद्ध आय भी 1,573.18 करोड़ रुपये से, 1,265.78 करोड़ रुपये हो गई है।

वर्तमान में, क्वालिटी को प्राप्ति प्रबंधन के मुद्दे का सामना करना पड़ रहा है।

कंपनी ने कहा, "यह तब शुरू हुआ जब कंपनी अपने ग्राहकों को लिक्विडिटी की कमी के कारण आवश्यक वस्तुओं के साथ सेवा नहीं दे सकी, ऐसी स्थिति मुख्य रूप से तिमाही के अंत में, बैंकिंग भागीदारों से स्वीकृत कार्यशील पूंजी के वितरण के कारण ट्रिगर हुई।"

"वैश्विक बाजार में निरंतर मंदी के मद्देनजर, क्वालिटी ने पूरी तरह से स्वामित्व वाली सहायक" क्वालिटी डेयरी प्रोडक्ट्स एफजेई "के संचालन का चरणबद्ध तरीके से बंद होने का निर्णय लिया है। हालांकि निर्णय से लंबी अवधि में कमाई को अनुकूलित होने की उम्मीद है, कंपनी जिनको अब माल की आपूर्ति नहीं कर रही है, उन पार्टियों को कलेक्शन में देरी का अल्पकालिक प्रभाव पड़ेगा" क्वालिटी ने आगे कहा।

Dairy major Kwality Ltd said that its net profit during the first quarter of the financial year 2018-19 has declined to Rs 1.04 crore. The net profit has seen a steep fall due to poor sales.

During April-June, 2017-18, the company’s net profit stood at Rs 27.87 crore. The net income has also been decreased to Rs 1,265.78 crore from Rs 1,573.18 crore.

Currently, Kwality is facing an issue of receivables management.

The company said, "This started when the company could not service its customers with the required goods due to liquidity crunch, a situation that emerged primarily towards the end of the quarter triggered due to non-disbursement of sanctioned working capital from banking partners."

"In view of the consistent recession in the global market, Kwality has decided to discontinue in a phased manner its operation of the wholly-owned subsidiary "Kwality Dairy Products FZE". While the decision is expected to optimise the earnings on a long-term horizon, it has a short-term impact of delay in the collections from the parties to whom the company is no longer supplying the goods," Kwality further added.

Dairy company Kwality Ltd has said that its new unit in Haryana, which has been set up mainly for manufacturing of value-added products like flavoured milk, has started commercial production.

The unit, when fully operational, will have milk handling capacity of 0.9 million litres per day primarily for manufacturing value-added products with total capital outlay of about Rs 400 crore, the company said in a BSE filing.

With this unit, cumulative milk processing capacity of Kwality would reach 4.3 million litres per day across its six plants, it said.

Nawal Sharma, President and Head, Kwality Ltd, said: "This is a significant development, as we continue to shift towards B2C by shifting our product mix towards consumer-oriented products, primarily fresh and value-added products."

He also added, "We are moving in the right direction in sync with our business plans towards new orbit of growth. This would enhance our profitability; strengthen our balance sheet and cash flows in the coming years."

The Delhi-based Kwality Ltd's milk processing units are located in Uttar Pradesh, Haryana and Rajasthan.

The company sells dairy products such as milk (bulk, pouched and tetra-packs), ghee, curd and skimmed milk powder.

RI Bureau

Kwality Limited, India's premier dairy foods company reported net sales of Rs 1441.22 crores up by 12.06 per cent for Q3FY16 as against Rs 1286.11 crores in the corresponding quarter of last year; net profit before tax during the same period stood at Rs 52.92 crores up by 19.70 per cent as against Rs 44.21 crores for the quarter ended 31st December 2014.  The EBIDTA at Rs 97.44 crore is up by 14.19 per cent as against Rs 85.33 crores in the corresponding quarter of last year.

Q3 FY16 Results (Comparisons with Q3 FY15)

• Net Sales at Rs 1441.22 crore vis-a-vis Rs 1286.11 crore

• PBT at Rs 52.92 crore vis-à-vis Rs 44.21 crore

•  EBIDTA at Rs 97.44 crore vis-a-vis Rs 85.33   crore

9M FY16 Results (Comparisons with 9M FY15)

• Net Sales at Rs 4285.09 crore vis-à-vis Rs 3909.21 crore

• PBT at Rs 151.22 crore vis-à-vis Rs 126.69 crore

• EBIDTA at Rs 284.94 crore vis-a-vis Rs 241.41  crore

For nine months ended December 31, 2015, the company reported Net Sales of Rs 4285.09 crores up by 9.62 per cent as against Rs 3909.21 crores in the corresponding nine months period of last year; net profit before tax during the same period stood at Rs 151.22 crores up by 19.36 per cent at as against Rs 126.69 crores for corresponding nine months period of last year. The EBIDTA at Rs 284.93 crore is up by 18.03 per cent as against Rs 241.41 crores in the corresponding period of last year.

Mr. Sanjay Dhingra, Managing Director, Kwality Ltd comments on the same, “We have recorded another quarter of good growth, which is in line with our expectations. We can attribute this growth to our focus towards strengthening the retail segment, which has helped us in registering these strong numbers. With the signing of Akshay Kumar as our brand ambassador and extension of our Palwal plant, we expect the momentum to continue and grow in the coming quarters.

Kwality, dairy firm reported a 4 per cent increase in standalone net profit at Rs 37.89 crore for the September quarter. The company had posted a net profit of Rs 36.56 crore in the year-ago period, reported PTI.

Total income from operations grew over 10 per cent to Rs 1,432.96 crore for the quarter under review as against Rs 1,296.92 crore in the corresponding period of the previous fiscal, said Kwality in a regulatory filing.

Finance cost increased to Rs 39.43 crore for the quarter from Rs 30.49 crore in the year-ago period, while tax expenses rose to Rs 12.29 crore in the period under review from Rs 5.84 crore in the year-ago period.

"The financial results for this quarter are in line with the company's strategy of achieving profitable growth. Our persistent focus on customers and quality of our products has helped us to take on the margin pressures, which resulted in the overall positive performance of the company," said Sanjay Dhingra MD at Kwality.

He further says, the company is aggressively eyeing the retail market, which is sure to further propel the growth of the company.

"The work at our plant is on full momentum and we are confident to have the same ready as per the plan. Going forward we see better margins as we intend to introduce new value added products across geographies in phased manner", said Sunit Shangle CFO of Kwality.

With six milk processing units in Uttar Pradesh, Haryana and Rajasthan, Kwality caters to retail customers under its own brand 'Dairy Best' and supplies dairy products to institutional customers, which includes MNCs and Indian firms.

Recently, the firm secured rights from its founding father PL Lamba to use the 'Kwality' artwork for its dairy products and beverages.