Century Plyboards reported a net profit of Rs 41.4 crore in the third quarter of FY19, down 11 percent over the corresponding period last year. Arun Julasaria, CFO of the company, discussed the financial performance.
“We expect that we shall have near about 10 percent volume growth in both the segments, laminates as well as plyboards,” Julasaria told CNBC-TV18 on Wednesday.
Talking about the medium-density fibreboard (MDF), Julasaria said, “in MDF, demand/supply gap is huge. So there is pricing pressure, it was there in the last quarter also and it is still continuing. We expect a price correction of 2-3 percent more in coming quarters. Around 5 percent was the price correction in last quarter on quarter-on-quarter (QoQ) basis.”
“In the market, Century MDF is treated as the best quality MDF. The demand for MDF is growing very fast and we expect that very soon the demand/supply gap will be narrowed down and every market player will have pricing power,” said Julararia.
"Capacity utilisation for the MDF plant is at 80 percent", he added.