Asian Tea & Exports Reports Mixed Q1 Results: Standalone Profit Amidst Consolidated Loss

Asian Tea & Exports Ltd has released its unaudited financial results for the first quarter, revealing a mixed performance across its standalone and consolidated operations.

Standalone Performance

On a standalone basis, the company reported a revenue from operations of Rs 19.26 lakh. The company managed to secure a net profit of Rs 6.58 lakh, translating to a basic earnings per share (EPS) of Rs 0.03.

Consolidated Results

The consolidated financial picture, however, presents a different scenario. While the company's consolidated revenue from operations stood at a robust Rs 1,373.33 lakh, it incurred a net loss of Rs 23.20 lakh. This resulted in a basic loss per share of Rs 0.56 for the quarter.

Business Segments

Asian Tea & Exports Ltd operates primarily in the tea and other food products segment. Its product portfolio includes tea, yellow peas, rice, and dal, catering to both domestic and international markets.

Auditor's Note

The company's auditor has highlighted an important observation in their review report. They noted outstanding debtors amounting to Rs 158.41 lakh, which have been pending for more than three years. While no provision has been made for possible losses against this recovery, the management expects to recover or adjust this amount in the normal course of business.

Management's Perspective

Hariram Garg, Managing Director of Asian Tea & Exports Ltd, signed off on the financial results. The management's decision not to provision for the long-standing debtors suggests their confidence in recovering these dues.

Conclusion

The contrasting standalone and consolidated results highlight the complexities in Asian Tea & Exports Ltd's operations. While the standalone entity has managed to remain profitable, the consolidated performance indicates challenges in its subsidiaries or associate companies. Investors and stakeholders will likely keep a close eye on how the company addresses these disparities and manages its outstanding receivables in the coming quarters.

Note: All figures are in Indian Rupees (Rs) and lakhs, unless otherwise stated.