Coffee Day Global Q2 results: Net loss narrows to Rs 59 crore

Coffee Day Global Ltd, an arm of Coffee Day Enterprises, on Wednesday reported narrowing of consolidated net loss at Rs 59.38 crore in the second quarter ended on September 30, 2020.
The company had posted a consolidated net loss of Rs 98.42 crore in the same period last fiscal, Coffee Day Enterprises said in a regulatory filing.

Consolidated revenue from operations of Coffee Day Global Ltd in the period under review stood at Rs 78.69 crore as compared to Rs 364.24 crore in the year-ago period, the filing added.

The company said its production, procurement and export division clocked a revenue of Rs 7.52 crore in the second quarter this fiscal as against Rs 36.31 crore in the same period last year. Retail operation, on the other hand, had a revenue of Rs 79.68 crore as against Rs 368.93 crore in the corresponding quarter last fiscal.

Although an unlisted entity, the company said it has voluntarily prepared the financial results using the format prescribed under Listing Regulations 2015, as its holding company Coffee Day Enterprises is a listed firm.

Coffee Day Global said from March 2020 due to the outbreak of the COVID-19 pandemic and the resultant lockdown, its business came to a grinding halt during the first quarter. However, from July 2020, the company has been able to recommence the business and improve gradually every month.

At present the company is able to operate almost 80 per cent of the retained cafes and nearly 50 per cent of the retained vending machines, it said.

The company expects to operationalise the balance outlets and machines in the coming months. The revenues have been growing steadily every month, it added.

"The average sales per day has gone up from Rs 4,000 in June 2020 to more than Rs 11,000 in October 2020. Operational vending machines have gone up from 5,000 in April to 26,000 in October. Therefore the company foresees no problem in continuing as a going concern," it said.

Coffee Day Global Ltd said there is a delay in repayment to banks and financial institutions and the overdue amount as on September 30, 2020, is Rs 400.85 crore, including interest of Rs 36.4 crore.