(Reuters) – India’s JK Paper reported a fall in profit for a sixth straight quarter on Wednesday, hurt by higher raw material costs and weak pricing power.
The paper and packaging board maker’s consolidated net profit tumbled 73% year-on-year to 653.9 million rupees ($7.6 million) for the quarter ended Dec. 31.
Indian paper makers have grappled with cheaper imports and elevated prices of wood – a key raw material – over the past few quarters.
Additionally, these companies have been forced to sell their products at lower prices as demand remains subdued following a post-pandemic surge.
JK Paper’s net revenue from operations fell 4.4% to 16.32 billion rupees during the quarter while total expenses rose 5%, led by an 18% jump in raw material costs.
Peer West Coast Paper Mills’ quarterly profit more than halved, hurt by higher costs and cheaper imports.
($1 = 86.5370 Indian rupees)
(Reporting by Aleef Jahan and Kashish Tandon in Bengaluru; Editing by Sonia Cheema and Mrigank Dhaniwala)
