Rupa & Company announced Q2FY23 results: Revenue from operations was at Rs 286 crore Gross Profit was at Rs 86 crore EBITDA was at Rs 29 crore Profit After Tax was at Rs 17 crore Commenting on the Results, Mr. Vikash Agarwal, Director said, “H1FY23 has been a challenging period for Rupa as well as the hosiery industry at large on account of numerous macro headwinds. Sharp volatility in yarn prices, rising inflation and overall weak sentiment resulted in calibrating price of finished products by alleviating the pressure on channel partners and therefore impacting our realization. However, with the stabilization of yarn prices we expect the volatility to take a back seat and confidence coming back to the market. Once the stability is witnessed, we anticipate growth and margin trajectory to get enhanced in the coming quarters. We achieved Revenue from operations of INR 286 crores during Q2FY23 and INR 215 crores in Q1FY23. EBIDTA margin improved during the quarter and stood at 10.2% for Q2FY23 vis-à-vis 8.6% for Q1FY23. PAT margin for Q2FY23 stood at 5.9% vis-àvis 5.8% for Q1FY23. We are seeing good traction in the exports business which stood at 1.7x of H1FY22. Modern Trade business also witnessed good traction and stood at 1.2x of H1FY22. Exports and Modern Trade business contributed 10% of total revenue of H1FY23. We are focused on our long-term goal of providing the highest level of consumer satisfaction with our bouquet of products. We have stepped up our efforts in branding to create a formidable brand equity. We are determined to deliver strong operational and financial performance going ahead.” Result PDF
Apparels & Accessories firm Rupa & Company announced Q1FY23 Result : Revenue from Operations Rs. 215 crores Gross Profit Rs. 80 crores EBITDA Rs. 18 crores Profit After Tax Rs. 12 crores Commenting on the Results, Mr. Vikash Agarwal, Director said, “After delivering high growth for two consecutive years and registering highest Revenue & PAT in preceding year, our growth this quarter has been flat. We took a calibrated price hike to bring our prices in-line with rising raw material costs, this enabled us to sustain our gross margins. In the first quarter devoid of any Covid related disruptions, our costs were back to pre-Covid levels. We have also invested heavily in marketing by engaging celebrity brand ambassadors and running national campaigns. The total advertising expenditure this quarter is ~10% of the revenue visà-vis ~4% in the corresponding period. Elevated fixed costs have had a pressure on our margins on account of being not absorbed completely this quarter. These strategic expenses, however, will be beneficial for us as we have an operational leverage in future. Further, increased administrative and manpower expenses have also not been absorbed completely due to flat revenue in the quarter. We are happy to announce the launch of our maiden flagship store in Kolkata along with 2 EBO. Online & e-commerce are focus areas for us and we have generated ~7% of the total revenue via modern trade business. We are also seeing good traction in the exports business which has doubled year-on-year, contributing ~6% to the total revenue. We are focused on our long-term goal of providing the highest level of consumer satisfaction with our bouquet of products. We have stepped up our efforts in branding to create a formidable brand equity. We are determined to deliver strong operational and financial performance going ahead. ” Result PDF
Other Apparels & Accessories company Rupa & Company declares Q4FY22 result: Rupa & Company Ltd delivers strong performance for FY22, registers highest ever Revenue & PAT in company’s history. Revenue from Operations Rs. 1,474 crores up +12.3% Gross Profit Rs. 514 crores up +11.9% EBITDA Rs. 269 crores up +4.4% Profit After Tax Rs. 192 crores up +9.4% Commenting on the Results, Mr. Dinesh Kumar Lodha, CEO said, “We are happy to have delivered another year with increasing growth as we build upon the momentum generated over the last two years. On our journey to achieve ambitious targets, for the second year running, we have recorded highest ever full year revenue & PAT in the company’s history. We are proud to have unlocked another milestone this year, taking the company to new heights. Hence on an increasingly higher base from FY21, in FY22 we have registered encouraging growth in key parameters Revenues, EBITDA and PAT at 12.3%, 4.4% and 9.4% respectively. The growth can be attributed to our efforts in scaling up high margin businesses and strengthening our retail footprint nationwide. In Q4 FY22, the industry faced headwinds in the form of a COVID wave early in the quarter coupled with rising raw materials prices. In accordance with our brand scaling strategy, in this quarter we incurred higher advertising & promotion expenses. Thus, a multitude of factors led to pressure on margins. We are also taking steps to calibrate pricing as we balance growth and demand. Our focus on key growth areas has shown good traction in this year and set the platform for a robust growth in the upcoming Financial Year 2022-2023. We have always been committed to our long-term goal of providing the highest level of consumer satisfaction with our products and brands and we are confident of achieving robust operational and financial performance going ahead.” Result PDF