Kaveri Seeds net up 17% to Rs 251 crore in FY20

Hyderabad: City-based Kaveri Seeds Company Limited posted Rs 251.26 crore net profit for FY20, an upswing of 17 per cent from Rs 214.72 crore in the previous fiscal.

The company's net sales went up 14.8 per cent to Rs 883.25 crore from 768.9 crore in FY19.

For the fourth quarter ended March 31, 2020, the company has posted net profit of Rs 9.35 crore as against a loss of Rs 11.44 crore for the corresponding quarter ended March 31, 2019.

Its cotton seed volume has increased by 17 per cent in FY20 and contribution of new products went up from 14.8 per cent to 23.1 per cent of volume. Maize volume increased by 0.21 per cent and revenues from maize increased by 10%.

In a statement, the company said it completed a buyback of up to 28 lakh shares with face value of Rs 2 at a price of Rs 700 each.

"Kaveri Seed's business has minimally been impacted by the Covid pandemic.

Robust infrastructure facilitated continued production and testing, while following the government prescribed social distancing norms.

Initial supply chain challenges were ironed out with the State government's support," the company said. Placement for forthcoming season is progressing well, it added.

The company strengthened its focus on R & D by setting up an advanced biotechnology lab in Telangana.

It also put up a new warehouse for foundation seeds at Gowraram plant. The company also set up a magnetic separator for grading of cotton seeds to enhance the quality.