Home / Knowledge / News / Textiles / Sales in textile segment grows by 14% at Raymond
Sales in textile segment grows by 14% at Raymond
Oct '10
Raymond Limited announced its unaudited financial results for the quarter ended September 30, 2010.

The Textile segment sales for Q2FY11 registered an increase of 14% to Rs 393 crore on the back of higher volumes and improved realizations in a buoyant domestic market. The Textile segment reported Earnings Before Interest and Tax (EBIT) of Rs 90 crore which is up by 44% compared to the corresponding period of previous year. The consequent EBIT margin for textile segment has improved to 23% in Q2FY11 from 18% in the previous year.

The Files & Tools Division has been transferred to J K Files (India) Ltd, a wholly owned subsidiary with effect from October 1, 2009 and hence the standalone results are not comparable on a like-to-like basis.

The net sales of the entire Files & Tools business was up 16% to Rs 59 crore for the quarter.

The Branded Apparel business witnessed a 6% increase in sales to Rs 174 crore and EBITDA of Rs 24 crore for the quarter. The closure costs of Zapp! brand have impacted margins. Raymond continues to operate one of the largest specialty retail networks in India in the textile and apparel space with 665 retail stores covering over 1.4 million square feet of retail space. In addition, the Company also has 39 stores in Middle East and SAARC. Like-to-like store sales growth for Company-operated stores for the quarter has been strong at 10%.

The company has arrived at an amicable solution to the VRS settlement package issue involving 1885 workers of its Thane textile factory, which suspended operations in November 2009. The total package cost is approx. Rs 260 crore, which is to be paid in two parts – the first part of Rs. 150 crore would be disbursed to the workers immediately, while the balance Rs 110 crore would be disbursed in three years. As on October 25, 2010 over 93% workers have opted for VRS settlement.

Announcing the results, Mr. Gautam Hari Singhania, Chairman & Managing Director, Raymond Limited said, “The 2010-11 financial year has thrown open numerous opportunities, predominant of which is the buoyant consumer sentiment. Raymond's focused efforts over the years towards tapping this great Indian consumer potential has enabled the Company to capitalize on these opportunities significantly during this financial year.

“Our strong performance over the quarter and half-year ended September 30, 2010 is a reflection of this and the various structural initiatives we undertook, including restructuring our loss making denim business, closure of unviable operations, and rapid expansion of our retail footprint in smaller towns and cities. We remain bullish on the domestic consumption story and remain confident of our capabilities to focus on opportunities and grow rapidly.”

Raymond Limited

Must ReadView All

May 31 deadline for registration of chemicals under REACH

Textiles | On 23rd May 2018

May 31 deadline for registration of chemicals under REACH

May 31 is the final deadline for companies to register all chemicals...

US cotton production projected to decline in 2018: USDA

Textiles | On 23rd May 2018

US cotton production projected to decline in 2018: USDA

US cotton production is forecast at 19.5 million bales, nearly 7 per...

Pakistan's textile exports up 8.13% in July-April FY18

Textiles | On 23rd May 2018

Pakistan's textile exports up 8.13% in July-April FY18

The value of textile and garment exports from Pakistan increased by...

Interviews View All

Pratik Bachkaniwala
Palod Himson Machines

Fabric processing machines are picking up

Abhimanyu Singh Rathore & Barbara Anna Kosiorek

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Rashi Menda

Every fifth sale we make on Zapyle is a repeat purchase

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

John Kelley

Textile Events is one of the largest textile fair in the United Kingdom,...

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

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


Leave your Comments

May 2018

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

news category

Related Categories:

Advanced Search