Mcleod Russel Q3 net up by marginal 5 pc

Kolkata, Jan 25 (IANS) Mcleod Russel, the world's largest tea producer, Friday announced a marginal 5.16 percent jump in its net profit for the quarter ending December 2012, to Rs 123.15 crore from Rs 117.11 crore for the corresponding period last fiscal.

The total income of the Kolkata-based company during the third quarter this fiscal increased to Rs 448.13 crore from Rs 404.75 crore in the corresponding period last fiscal.

Operating earnings before interest and tax for nine months ended December 2012 was marginally lower at Rs. 379 crore as against Rs.387 crore during the same period the previous year.

"This is mainly attributed to loss of crop, increase in wage cost on account of revision of wages effective Jan 1, 2012, and increase in power and fuel cost. Consumption of raw material (cost of bought leaf) is higher by Rs.81 crore due to increase in volume and price," Mcleod Russel said in a release here.

The tea major saw a fall in the production of the crop to 197 lakh kg during the period under review from 220 lakh kg for the same period in the previous fiscal.

Dry weather conditions during January to May across major black tea producing countries and excessive rains during July and September in north India had negative impact on production up to October, it said.

On the company's overseas operations, it said during the year ended Dec 31, 2012, operations of Vietnam, Uganda and Rwanda achieved a total production of 23.8 million kg as against 23.5 million kg last year.

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