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.”