Leading textile company Raymond Ltd. has reported over four-fold jump in its consolidated net profit to Rs. 264.97 crore for the fourth quarter ended in March 2022.
The company had posted a net profit of Rs. 58.36 crore during the January-March quarter of the previous fiscal, Raymond said in a regulatory filing.
It also said in an earnings statement that it has achieved highest-ever revenue and profitability during the quarter.
The enthusiastic results have been attributed to buoyant demand and strong consumer sentiments during the period. During the quarter, demand in international markets and robust momentum of export orders were maintained in garments and engineering businesses.
The company’s revenue from operations was up 43.38 per cent to Rs. 1,958.10 crore during the quarter under review as against Rs. 1,365.66 crore in the corresponding period of the previous fiscal.
As far as textile segment is concerned, Raymond’s revenue in Q4/FY22 was up 22.66 per cent to Rs. 885.80 crore as against Rs. 722.10 crore of the corresponding quarter, driven by strong momentum in secondary sales led by wedding-related purchases and higher footfalls in retail outlets.
The segment reported a robust EBITDA margin of 22.7 per cent marginally higher as compared to the previous year. Higher realisation and operational efficiencies contributed largely to margin performance.
Revenue from the ‘Shirting’ segment was up 31.11 per cent to Rs. 174.60 crore as against Rs. 133.17 crore of Q4/FY 2021-22 driven by wedding season-related purchases and opening up of offices.
“The growth was witnessed across all channels including online during the quarter. The segment reported a healthy EBITDA margin of 11 per cent as compared to EBITDA loss in the previous year,” it said.
Revenue from ‘Apparel’ was up 59.43 per cent to Rs. 278.94 crore as against Rs. 174.96 crore. Garmenting segment was up 69.29 per cent to Rs. 212.65 crore as against Rs. 125.61 crore, mainly driven by growth due to high demand from existing customers in US & Europe markets and new customer acquisitions.
“EBITDA margin for the quarter improved to 3.5 per cent mainly due to higher utilisation levels,” it said.
The company said, “Having core brand strength and a wide distribution network across the country, Raymond capitalised on the buoyant demand and strong consumer sentiments during the last quarter of the financial year 2022. With work-life coming back to the physical mode coupled with strong wedding season, demand across our B2C businesses witnessed the growth impetus.”
Gautam Hari Singhania, CMD of the company, said the company delivered a very strong quarterly performance consecutively in two quarters. “We have witnessed demand recovery across all our businesses to pre-COVID levels and with our effective cost management, we have delivered the highest profitability for the quarter and the year,” he said.
The company is also in Tools & Hardware, Real Estate also.
