Gokaldas reports Q3 profit of Rs 1 cr

Gokaldas Exports has reported Rs one crore profit for the third quarter of fiscal 2013-14 against a loss of

Rs 43.07 crores in the corresponding period last year. Revenues in the third quarter were up 10.81 percent at Rs 252.86 crores against Rs 228.18 crores in the same period last year. EPS stood at 29 paise against negative (-12.53) last year.

Gautam Chakravarti, CEO feels business restructuring efforts, to streamline operations and enable closer customer-connect, during the last 12-18 months, are beginning to yield results. As per him the global scenario is looking positive with the US economy improving and Euro zone showing signs of improvement.

Blackstone, the private equity (PE) investor, who had acquired a 68 percent stake in Gokaldas Exports at 158.7 million dollars (Rs 978.4 crores) in 2007, is said to be struggling to keep the business running. Originally Hinduja-owned, Bangalore-based Gokaldas failed to perform in the last five years of after Blackstone bought majority stake. The company has come down to net sales of Rs 981 crores for 2012-13 against sales of Rs 1,005 crores in 2006-07.