Finolex Cables Limited (FCL) has announced results for the third quarter of the financial year 2020-21.
The company’s profit before taxes for the quarter ended (QE) December 2020 stood at Rs 1.167 billion, as compared to Rs 1.089 billion in the previous year. Further, the profit after taxes was Rs 0.828 billion, as compared to Rs 0.806 billion in the previous year.
Unlocking of the economy that began in the previous quarter moved forward with greater urgency during the quarter under review. Volumes improved significantly both in comparison with the previous quarter as well as the corresponding quarter of the previous year. Improvements in volumes were seen across all product categories; this combined with repeated assurances from government towards economy building, brings tremendous hope for the immediate future.
To this end, the company’s net sales for the QE December 2020 were Rs 8.302 billion as against Rs 7.024 billion for the corresponding period of the previous year representing an 18 per cent improvement in value terms.
Further, volumes across all product categories showed an improvement over both the immediately preceding quarter as well as over the corresponding period of the previous year. While volume of electrical wires was higher by 7 per cent, communication cables including optical fibre cables (OFC) showed growth of over 25 per cent. The newer categories of lamps, switches, switchgear, fans and water heaters continued on the trend from the previous quarters, notching up growth rates upwards of 25 per cent.
According to the company, the strategy to focus on better distribution is continuing to bring rewards.