Home / Knowledge / News / Textiles / Vardhman Q2FY15 net sinks from high depreciation costs
Vardhman Q2FY15 net sinks from high depreciation costs
12
Nov '14
Despite a 16.26 percent revenue hike in the second quarter of fiscal 2014-15, impacted by higher depreciation and amortisation costs, net profit at Vardhman Textiles Ltd sank 48.4 percent, year-on-year.

The vertically integrated Indian textiles producer reported a steep 48.4 percent fall in net profit at Rs 91.70 for the second quarter of fiscal 2014-15 as against Rs 177.81 crore in the corresponding quarter of 2013-14.

Vardhman said pursuant to a new act, it had to recalculate the remaining useful life of its fixed assets, which drove depreciation and amortisation costs higher by Rs 33.15 crore, thereby, impacting profits.

Helped by capacity increase in yarns and fabrics, net sales at Rs 1487.54 crore in the reporting quarter expanded 16.26 percent from Rs 1279.51 crore in the prior year fiscal quarter at the North India based textile group.

However, high cotton prices and low yarn prices drove EBITDA margins down to 17.59 percent in the quarter under review at Vardhman Textiles from 27.08 percent in the second quarter of 2013-14.

Spanning over 22 manufacturing facilities in five states across India, the Vardhman Group has interest across yarn, greige and processed fabric, sewing thread, acrylic fibre and alloy steel. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Pic: Shutterstock

Textiles | On 2nd Jul 2020

USMCA enters into force Jul 1; AAFA, USCM welcome start

Though the United States-Mexico-Canada Agreement (USMCA) went into...

Pic: Shutterstock

Fashion | On 2nd Jul 2020

British fashion group Arcadia to cut 500 jobs

British fashion group Arcadia, which owns brands like Topshop and...

Pic: Shutterstock

Apparel/Garments | On 2nd Jul 2020

California bill seeks to end garment sector piece-rate pay

The Garment Worker Protection Act passed the California senate in a...

Interviews View All

Akash Khetan, Narayan Tex Fab

Akash Khetan
Narayan Tex Fab

I find it hard to find professionals in Surat

Asim Dalal, Indo Count Retail Ventures

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Top executives, Machinery Company

Top executives
Machinery Company

We will promote latest technologies at ITMA Barcelona

DP Kumar,

DP Kumar

Weaves is South India's premier textile fair organised by Texvalley in...

Kamal Kulshreshth,

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Verena Ruckh,

Verena Ruckh

Brückner Trockentechnik develops, manufactures and supplies textile...

Kai Poehler, Voith Paper GmbH & Co. KG

Kai Poehler
Voith Paper GmbH & Co. KG

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

Paige Mullis, Glen Raven Inc

Paige Mullis
Glen Raven Inc

Paige Mullis discusses the expansion plans of Glen Raven Inc in India, and ...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

EDANA, the international association serving the nonwovens and related...

Jay Ramrakhiani, Occasions Elegance Wear

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Akta Adani, India Boulevard

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Cigdem Akin, Cigdem Akin

Cigdem Akin
Cigdem Akin

She has carved a niche for herself as the national brand of Turkey. Her...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


July 2020

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


Advanced Search