Raymond’s branded textile segment sales reported growth of 49 per cent to ₹899 crore in the third quarter of 2022 from ₹603 crore in the third quarter of the previous year. The growth driver is the improved consumer sentiments and strong momentum in secondary sales due to buoyant festive demand, wedding related purchases and higher footfalls in retail outlets.
In the branded apparel segment, strong sales growth was witnessed in all trade and retail channels across regions leading to an increase in sales by ₹105 crore from ₹211 crore in the third quarter of previous year to ₹316 crore in the third quarter of 2022. Online channel continued to contribute well during the quarter. The segment reported a healthy EBITDA margin of 10.7 per cent higher by 771 bps compared to previous year mainly due to better sales and continued operational efficiencies, Raymond said in a press release.
For the reported period, garmenting segment sales grew strongly by 48 per cent to ₹203 crore compared to ₹137 crore in the third quarter of 2021, mainly driven by growth in bulk business due to high demand from customers in US, UK & Europe markets. EBITDA margin for the quarter improved to 8.6 per cent, higher by 204 bps compared to previous year, mainly due to higher utilisation levels.
Raymond’s branded textile segment sales reported growth of 49 per cent to ₹899 crore in the third quarter of 2022 from ₹603 crore in the third quarter of the previous year. The growth driver is the improved consumer sentiment and strong momentum in secondary sales due to buoyant festive demand, wedding related purchases and higher footfalls in retail outlet.
In the third quarter, high value cotton shirting segment sales recorded a high growth by 72 per cent to ₹148 crore compared to ₹86 crore in previous year, led by higher cotton fabric sales in domestic markets. The segment reported lower EBITDA margin of 8.6 per cent, impacted due to higher raw material prices.
“I am pleased to announce an overall strong performance in the quarter with business achieving 100 per cent of pre-COVID levels. With our focused approach on capitalising on the growing demand for our products and continued cost optimisation, we delivered record profitability. We generated free cash flows to reduce debt and are progressing towards being a net debt free business. With Union Budget to be announced shortly, we are hopeful that there will be a further impetus for improving consumerism and expect reforms that increases the spending power of the consumer which will provide opportunity for Indian economy to achieve higher GDP growth in the coming fiscal,” Gautam Hari Singhania, chairman & managing director, Raymond Limited, said.
Fibre2Fashion News Desk (RR)
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Originally posted 2022-02-02 08:57:44.