Jain Irrigation trims losses in Dec 2020 quarter, engages with lenders to restructure debt
Irrigation major Jain Irrigation Systems Ltd (JISL) has managed to erase some of its losses in the December quarter even as revenue from operations has increased. With the Budget 2021-22 proposing doubling of area to be brought under irrigation, the Jalgaon-based company is hoping to come out of the red soon.
The company reported net sales at Rs 1428 crore on a consolidated basis during the quarter ended December 2020, up from Rs 1300 crore in the corresponding period of previous year. Net Sales were at Rs 522.46 crore in December 2020, up 48 per cent from Rs 352.36 crore in December 2019 on a standalone basis.
Jain Irrigation reported a net loss of Rs 123 crore in December quarter against loss of Rs 284 crore last year. On a standalone basis, net loss was down at Rs 75 crore against loss of Rs 183 crore.
JISL Managing Director Anil Jain said the quarter started of with scepticism and uncertainty over Covid, but in reality the impact on business was manageable. The company is close to implementation of debt resolution plan in coming weeks and confident of increasing the capacity utilisation besides enhancing product range, Jain said.
The company said it has entered into agreement with lenders to restructure its debt of over Rs 3600 crore. “We continue to engage intensively with the lenders on the debt resolution,” said Jain.
