In the second quarter of FY23, JK Paper’s consolidated net profit increased more than twofold to Rs 326.93 crore, thanks to increasing sales volume and improved sales realisation.
According to JK Paper, the company reported a net profit of Rs 118.38 crore between July and September of last year.
Its operating revenue increased by 72.34 percent to Rs 1,722.63 crore. In the equivalent quarter of the previous year, it was Rs 999.51 crore.
JK Paper’s overall costs came to Rs 1,207.40 crore, up 49.6% over the prior quarter.
Vice Chairman & Managing Director H P Singhania said: “The company was able to deliver an improved performance on a quarter-to-quarter and YoY basis due to growth in volume driven by the ramp-up of new packaging board capacity coupled with overall better realisation despite the adverse impact of higher input costs.” According to him, excellent working capital management and a negotiated interest rate reduction contributed to the lower finance cost.
With more volume, enhanced efficiency, and higher sales realisation, the step-down subsidiary The Sirpur Paper Mills helped the company achieve overall profitable growth, Singhania noted.
JK Paper is one of the largest producers of packaging boards, coated paper, and copier paper in the nation.
On Wednesday, JK Paper Ltd. shares on the BSE closed at Rs. 409.90 a share, down 2.07 percent from the previous close.