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Somany Ceramincs maintains low revenue guidance for FY19 due to rupee fall

Somany Ceramincs is expecting an annual revenue loss of Rs 40 crore if the rupee continues to slide, said Abhishek Somany, managing director of the company.
Somany Ceramics is down more than 50 percent from a 52-week high in the month of January.
The company is expecting a revenue loss of Rs 25-30 crore in July due to trucker strikes and Rs 15-20 crore loss in August due to Kerala floods. "Therefore, the FY19 guidance of low double-digit topline remains," said Somany.
The impact of rupee depreciation, as far as the company is concerned, is restricted only to gas prices as the firm does not import anything from anywhere else, he said.
The average gas cost for Q1FY19 stood at Rs 33/scm versus Rs 25 year-on-year. Currently, it stands at Rs 39/scm and is expected to go to levels of Rs 41/scm with further slide in the rupee, Somany mentioned.
Around a 1.5 percent price hike was taken this month but the entire gas price hike could not be passed on, he added.