Home / Knowledge / News / Textiles / Textile segment sales surge 23% at Raymond in Q3FY15
Textile segment sales surge 23% at Raymond in Q3FY15
28
Jan '15
Driven by growth in domestic sales, Indian textile major and diversified group, Raymond clocked a 23 per cent surge in textile segment revenue for the third quarter of fiscal 2015.

However, on account of higher expenses, consolidated net profit fell 1.44 per cent year on year in the same quarter ending December 31, 2014.

Raymond said its textile segment revenue drove up by 23 per cent from a year ago quarter to Rs 681 crore in the reporting quarter.

Raymond CMD Gautam Hari Singhania said, "We have registered good topline growth driven by strong performance in the textile segment.”

In the third quarter of fiscal 2015, Raymond posted decline in consolidated net profit at Rs 56.07 crore from Rs 56.89 crore during the corresponding quarter of fiscal 2014, which it attributed to higher expenses.

It’s consolidated net sales in the quarter under review too climbed by 14.54 per cent to Rs 1,382.32 crore from Rs 1,206.81 crore in the same quarter of previous fiscal year.

Third quarter of fiscal 2015 branded apparel sales rose to Rs 256 crore from Rs 244 crore, up 5 per cent. Raymond said sales growth was moderate due to lower primary sales and deep discounting by e-tailers.

During the quarter it added 22 new stores and closed 12 stores, completed renovation of 8 stores, with 9 stores still under renovation.

Volume growth helped Raymond achieve highest sales growth in the garmenting segment which expanded by a massive 32 per cent year-on-year to touch Rs 138 crore for the quarter under review.

Driven by export revenues, turnover in the joint venture denim segment turnover lifted albeit slower by 4 per cent from the prior year quarter to Rs 243 crore.

Sales in high value cotton shirting division ascended to Rs 97 crore in the third quarter of fiscal 2015 from Rs 86 crore in third quarter of fiscal 2014, up 13 per cent, from better volumes and realisations.

Raymond's expense in the third quarter of current fiscal grew by 15.37 per cent to Rs 1,281.4 crore compared with Rs 1,110.6 crore in the same quarter a year earlier.

EBITDA for the third fiscal quarter of current fiscal quarter also slipped higher by 5 per cent year-on-year to Rs 156 crore, while EBITDA margin dropped 220 basis points to 11.2 per cent from 13.4 per cent.

EBIT stayed flat at Rs 115 crore from the prior year quarter, but EBIT margin also dipped to 120 basis points to 8.2 per cent from 9.4 per cent.

Raymond said margins were impacted primarily due to product mix, higher advertisement and stores renovation.

“We have stepped up our advertisement spends, new store roll-outs, along with store renovation as a part of brand building exercises, benefits of which will commence accruing next year," Singhania added. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Bangladesh, Sri Lanka may sign FTA soon

Apparel/Garments | On 15th Oct 2018

Bangladesh, Sri Lanka may sign FTA soon

Bangladesh may sign a free trade agreement (FTA) with Sri Lanka as...

China pumps $109 bn into economy amid trade war with US

Textiles | On 15th Oct 2018

China pumps $109 bn into economy amid trade war with US

China has decided to cut the reserve requirement ratios (RRRs) by one ...

Global lingerie market expected to reach $55 bn by 2024

Apparel/Garments | On 15th Oct 2018

Global lingerie market expected to reach $55 bn by 2024

Global lingerie market in 2015 was worth $33 billion and is expected...

Interviews View All

Kaizad Hansotia, GetNatty

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Abhishek Ganguly, Puma India

Abhishek Ganguly
Puma India

‘As a brand, Puma is always looking for new and innovative ways to inspire ...

Mohammad Mamun Ar Rashid, UL VS Bangladesh Ltd

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Sugandha Bhardwaj,

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Gagan Gulati,

Gagan Gulati

PG Silk Mills Private Limited had a humble start with a hand-dyeing unit....

Franco Ravazzi,

Franco Ravazzi

Italy-based Tessimenti E Orditi Tinti (T.O.T SRL) specialises in stocking...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

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

Paige Mullis, Glen Raven Inc

Paige Mullis
Glen Raven Inc

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

Kazuaki Yazawa, Purdue University

Kazuaki Yazawa
Purdue University

Scientist <b>Kazuaki Yazawa</b> has developed thermoelectric semiconductor ...

Madhu Jain, Madhu Jain

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Anisha Chaudhari, Threads & Shirts

Anisha Chaudhari
Threads & Shirts

Threads &amp; Shirts is a freshly-tailored concept providing men/women a...

Judy Frater, Somaiya Kala Vidya

Judy Frater
Somaiya Kala Vidya

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

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


October 2018

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

news category


Related Categories:

Advanced Search