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The Textile Magazine
JUly 2012
corporate news
Despite being one of the worst year for the
textile industry, India’s leading machinery
manufacturer Lakshmi Machine Works Ltd.
(LMW) achieveda turnover ofRs. 2,07,249.19
lakhs in 2011-12 (Rs. 1,77,331.17 lakhs
in 2010-11), resulting in a net profit of Rs.
22,339.40 lakhs before tax (Rs. 23,784.22
lakhs). During the year the turnover
increased 16.87 per cent over the previous
year. However, profit decreased by 6.07 per
cent. In spite of rise in turnover, the increase
in commodity prices, power and fuel expenses
and depreciation of the Indian rupee against
the US dollar impacted profitability.
The Textile Machinery Division of the company
during the year recorded a turnover of Rs. 1,75,329.51
lakhs as against Rs. 1,51,813.21 lakhs the previous
year, recording an increase of 15.49 per cent.
The buoyancy in demand for textile machinery
experienced during 2010-11 slowed down in 2011-
12. During the year the Indian textile industry was
affected by external factors like the Euro Zone crisis
and concerns relating to low growth in demand from
the US market. Demand generation in the domestic
market too was affected by the uncertain economic
environment. The high rate of inflation eroded the
disposable income and hampered demand growth in
the domestic market.
Mr. Sanjay Jayavarthanavelu, Managing Director, LMW