Raymond Q3 profit climbs 30% to ₹38 crore

Branded Textile Segment sales has been recorded at Rs 848 crore, higher by 10 per cent over previous year, driven by volume growth in domestic business mainly in trade channels. Like to Like EBITDA margins (excluding common cost allocation) rose 15.6 per cent over 15.3 per cent, mainly due to higher sales and lower discretionary spends.

For the reported period, sales from Branded Apparel Segment were Rs 397 crore, up by 20 per cent over previous year. The rise was driven by strong performance in EBO and MBO channels along with growth in Park Avenue and Parx brands supported by new customer segments. LTL EBITDA margins improved to 2.7 per cent compared to 0.2 per cent, mainly due to sales growth and better channel mix.

As on December 31, 2018, the retail stores count were 1,363 across all formats covering about 2.3 million square feet of retail space. In-line with stated asset light network expansion strategy, Raymond opened 70 mini TRS stores in Q3 taking total count of mini TRS to 209 stores.

Garmenting Segment sales were posted ₹185 crore, a growth of 14 per cent over previous year. The increase was led by exports growth in Europe & US. LTL EBITDA margins improved to 4.6 per cent over 4.1 per cent in previous year mainly due to operational efficiencies.

Luxury Cotton Shirting Fabric Segment sales stood at ₹159 Crores in the third quarter of fiscal 2018, up by 7 per cent, led by yarn sales from Amravati plant. LTL EBITDA margins improved to 14.8 per cent over 10.7 per cent in the previous year mainly. The increase was due to better product mix and increased efficiency on account of stabilisation of Amravati operations.

"We are delighted to report the continued strong revenue growth across all our businesses backed by a robust profitability despite challenging global business environment. As we move into the last quarter of the current fiscal, we expect to end the year on a strong and a positive note with the extended wedding season. This is yet another initiative in Raymond Re-imagined journey that is committed to enhance stakeholder value," Gautam Hari Singhania, chairman & managing director, Raymond Limited, said. (RR)

Fibre2Fashion News Desk – India