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27 Years
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1 Crore +
Textiles company RSWM announced Q3FY24 & 9MFY24 results:
Q3FY24 Financial Performance:
- Sales: RSWM reported total sales of Rs 977 crore in Q3FY24, marking a significant increase of 14.3% from Q3FY23.
- Gross Profit (GP): The gross profit for Q3FY24 stood at Rs 346 crore, up by 10.8% year-over-year.
- GP Margin: The Gross Profit Margin saw a slight decrease, down to 35.4% in Q3FY24 from 36.5% in Q3FY23, a change of 111 basis points.
- EBITDA: Earnings before interest, taxes, depreciation, and amortization (EBITDA) was reported at Rs 22 crore in Q3FY24 with an EBITDA margin of 2.3%.
- PAT: The Profit After Tax (PAT) experienced a downturn, with a reported number of (Rs 32 crore) for Q3FY24.
9MFY24 Financial Performance:
- Sales: Net sales reached Rs 2,886 crore
- Gross Profit: The GP was Rs 1,045 crore with a Gross Profit Margin of 36.2%.
- EBITDA: For 9MFY24, EBITDA stood at Rs 77 crore with an EBITDA margin of 2.7%.
- PAT: PAT for 9MFY24 was reported as (Rs 65 crore).
Commenting on the results, Riju Jhunjhunwala, Chairman & Managing Director and CEO of RSWM said, “Our recent performance demonstrates promising signs of improvement, with notable YoY revenue growth in Q3 & 9M FY24. Nevertheless, challenges persist, particularly in demand both domestically and in export markets due to pricing pressures and economic slowdowns. Key markets like the US and UK have experienced significant declines. Looking ahead to FY25, optimism arises from the trend of diversification from China and new orders in Western markets.
About acquisition of Spinning, Knitting and Processing Undertaking of Ginni Filaments Limited: During the quarter, RSWM Limited is pleased to announce a significant move in the textile industry with its proposed acquisition of Spinning, Knitting and Processing units of Ginni Filaments Limited. Going beyond Rajasthan, this expansion foresees a substantial increase in turnover. Targeting new customers globally, RSWM Limited aims to strengthen its position in spinning and knitted fabric sector. With a strategic investment in upgrading acquired assets, RSWM Limited focuses on operational efficiency and eco-friendly practices. This move enhances financial stability and anticipates improved earnings. RSWM Limited expresses gratitude to shareholders for their trust and looks forward to shared success in advancing further in the textile industry.
The move underscores our commitment to sustainable growth, positioning us as an industry heavyweight. Thanks to shareholders for their trust. We aim to explore new opportunities and optimize capacity utilization levels to achieve operating leverage. Our focus will be on enhancing yarn quality, growing the knits and denim fabric business, and increasing exports.”
FAQ’s on RSWM Ltd Shares
