09 May 2023, Mumbai
Raymond Ltd has reported a nearly 6% increase in quarterly core profit, driven by higher sales in its textiles and apparel businesses.
The company's consolidated earnings before interest, taxes, depreciation, and amortization (EBITDA) reached 3.79 billion rupees ($46.34 million) for the three-month period ending on March 31, compared to 3.58 billion rupees in the previous year.
However, despite the growth in core profit, Raymond's net profit declined by over 26% to 1.94 billion rupees during the same period.
This drop can be attributed to a larger tax deferment that boosted profitability in the corresponding quarter of the previous fiscal year.
During the quarter, Raymond witnessed a 10% rise in revenue, reaching 21.50 billion rupees.
Textile sales experienced a slight increase, while the apparel and garment segments achieved significant jumps of 18.9% and 43.6% in sales, respectively.
India's retail inflation showed signs of easing towards the end of the quarter and is expected to decrease further in the current fiscal year.
This development, coupled with rising disposable incomes, is anticipated to stimulate consumer spending and contribute to a recovery in demand.
