Other income fell 24% to Rs 6 crore. Interest cost was Rs 2.95 lakh compared to Rs 2.53 crore. Depreciation fell 13% to Rs 17.51 crore. PBT reported loss of Rs 27.07 crore compared to profit of Rs 88.529 crore.

Tax expense was credit of Rs 6.81 crore compared to tax expense of Rs 31.45 crore. Net profit reported loss of Rs 20.26 crore compared to profit of Rs 57.14 crore. The company's financial performance has been adversely impacted by the outbreak of Covid-19 pandemic and the consequent lockdown announced by the government of India due to which the operations were suspended for part of the quarter and gradually resumed with requisite permissions.

Commenting on the performance for the quarter, Rajiv Rajgopal, Managing Director, AkzoNobel India, said: "Business came to a standstill in April due to a complete lockdown, the partial resumption in May and Unlock 1.0 being announced in June. Demand from automotive, infrastructure, oil and gas and construction segments was heavily impacted.

Metros and large towns continued to see a relatively higher impact from the pandemic, resulting in slower offtake of the premium segments where we have a higher salience. Tier 2 and Tier 3 markets have performed relatively better.

During the quarter, we achieved a significant reduction in operating costs which led to a resumption of profits in June. We will continue to manage the uncertain environment and volatility with a focus on costs and driving recovery in the build-up to the festive season. Our focus on safety and the well-being of our employees – as well as other stakeholders – continues to be a top priority."

Performance for year ended Mar20

For year ended Mar20, net sales fell 9% to Rs 2661.81 crore compared to corresponding previous year period. However company operating margins rose 250 bps to 14.2% leading a 11% increase in operating profit to Rs 379.17 crore.

Other income fell 11% to Rs 37.62 crore. Interest cost was Rs 9.34 crore compared to Rs 4.45 crore. Depreciation rose 21% to Rs 79.01 crore. PBT before EO as a result rose 4% to Rs 328.44 crore. The company had net EO expense of Rs 5.23 crore during the quarter (EO expense of Rs 8.72 crore during the quarter related to VRS payments and other termination benefits and EO income of Rs 3.49 crore divestment provisions and indirect taxes on divested business no longer required) compared to EO income of Rs 65 lakh in the corresponding previous year period both representing divestment provisions no longer required and accordingly written back. PBT after EO was up 2% to Rs 323.21 crore. Tax expense was down 18% to Rs 85.75 crore. Net profit rose 13% to Rs 237.46 crore.

The scrip is trading at Rs 2024 at BSE