Home / Knowledge / News / Textiles / Net profit at Sangam India zooms 52% in Q2FY16
Net profit at Sangam India zooms 52% in Q2FY16
Aug '15
Net profit for the first fiscal quarter ended June 30, 2015 at Sangam (India) Ltd, one of India's largest polyester dyed yarn producer zoomed 52 per cent from a fiscal ago quarter.

In a BSE filing, the RP Soni led company said its net profit surged 52 per cent to Rs 17.20 crore in the first quarter of fiscal 2016 from Rs 11.34 crore in the prior fiscal first quarter.

Resultantly, earnings per share also rose to Rs 4.36 compared to Rs 2.88 in the corresponding period of earlier fiscal.

However, revenue declined 2.25 per cent to reach Rs 366.61 crore in the reporting period as against Rs 375.06 crore in the first quarter of fiscal 2015.

Chairman RP Soni said, “Despite softening commodity prices prevailing across the globe over the last couple of months, we have managed to contain its impact on revenue.”

In the quarter, increased focus on exports helped, export shipments soar 22 per cent year over year at the Bhilwara based integrated textiles manufacturer.

In particular, value-added denim exports climbed massively by 272 per cent over last year's second quarter, and amounted to Rs 17 crore.

Overseas shipments of polyester-viscose (PV) fabrics also rose steeply by 53 per cent year on year to which, in line with its vision to increase exports of value-added exports instead of low-margin yarn exports.

Expenditure in the reporting quarter totaled to Rs 325.1 crore, down 5.24 per cent from Rs 343.08 crore from a fiscal ago period.

Earnings from operations before other income, finance costs and taxation in the first quarter of fiscal 2016 was Rs 41.51 crore compared to Rs 31.95 crore.

Operating profit margins for the quarter improved 330bps year on year to 16.88 per cent, helped by increased integration and better raw material management.

Earnings before interest, depreciation and taxation (EBITDA) too drove up 22 per cent to Rs 61.88 crore in the first quarter of the current year from Rs 50.89 crore in the first quarter of previous fiscal.

The Sangam board of directors has approved capex of Rs 198 crore to further enhance its integration capability and also help consolidate its leadership in the PV segment.

Earlier this year, Sangam India had launched Channel Nine of branded seamless knitted garments, through which it plans to make inroads into the Indian lingerie market.

Apart from a domestic presence, the Indian textile manufacturer also exports its products to over 50 countries across the globe and has bagged a 3-star trading house status.

The company has 211,296 spindles and 437 weaving looms installed at its textile facility in Bhilwara. Besides, it also manages a 31 MW thermal plant, a 5 MW wind power plant and 1 MW solar plant.

Within India, Sangam (India) has a client base which includes the likes of Reliance, Siyaram, Grasim, etc and also operates through a network of 100 dealers and 1,000 retailers. (AR)

Fibre2Fashion News Desk – India

Must ReadView All

Apparel/Garments | On 26th Oct 2016

SGS develops 4C chemical management model for apparel

SGS, a leading inspection, auditing, certification, testing, and...

Textiles | On 26th Oct 2016

Platinum Equity acquires International Textile Group

International Textile Group (ITG) has been acquired by Platinum...

Information Technology | On 26th Oct 2016

EFI & Konica Minolta to sell cloud-based MIS solutions

Electronics For Imaging, Inc. (EFI), a global technology company...

Interviews View All

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search