India's IFB Industries posts Q2 profit fall on soft demand

IFB Industries

02/11/2023 13:42

BENGALURU, Nov 2 (Reuters) - Indian consumer goods maker
IFB Industries  IFBI.NS  posted nearly an 11% drop in
second-quarter profit on Thursday, hurt by reduced demand for
its home appliances. 
    The company's consolidated net profit fell to 215.3 million
rupees ($2.59 million) for the three months ended Sept. 30 from
a profit of 241.2 million rupees a year earlier. 
    Analysts described the September quarter as a seasonally
weak quarter for consumer durables businesses such as IFB
Industries. 
    The overall demand remained weak as consumers restricted
their spending, the analysts had said earlier. 
    Rising competition in the sector also exerted pricing
pressure on the company.  
    IFB's revenue from operations fell 1.5% to 11.01 billion
rupees, dented by a near-3% drop in its home appliances
vertical, its biggest segment which contributed about 78% to the
total.
    Kolkata, West Bengal-based IFB Industries makes a range of
home appliances products, including washing machines and air
conditioners. 
    The company's shares settled 0.5% higher ahead of the
results. The stock rose nearly 11% during the September quarter.
    

($1 = 83.2028 Indian rupees)

 (Reporting by Kashish Tandon in Bengaluru; Editing by Sohini
Goswami)
 ((Kashish.Tandon@thomsonreuters.com;))