Indian glass packaging company Piramal Glass has registered a 66.28% decline in its consolidated net profit to Rs106.3m ($2m) for the first quarter of 2012, compared to Rs 315.3m ($6m) in the same quarter of 2011 primarily due to rise in manufacturing costs.
The company’s consolidated net sales increased to Rs3.8bn ($69.4m) for the quarter from Rs3.2bn ($58m) in 2011.
Piramal Glass director Vijay Shah said the company’s new furnace of 160 TPD is operational since April 2012, moneycontrol.com reported.
"Being a new furnace, it is in the process of stabilising and produces a sub-optimal product mix. The combination of these factors has impacted profitability in the short run," Shah added.
The company’s cosmetic & perfumery (C&P) segment during the first quarter of FY13 increased by 12% and contributed 52% to the total sales.