In its unaudited standalone financial results for the second fiscal quarter ending September 30, 2014, Indian textile major, Arvind Ltd reported a 4.13 percent year-on-year rise in net profits.
Arvind, an integrated textiles producer, said its standalone net profits grew 4.13 percent to Rs 97.14 crore in the second quarter of fiscal 2014-15 from Rs 93.28 crore in the corresponding quarter of 2013-14.
Standalone net sales in the reporting quarter at the biggest Indian denim producer, climbed slower by 2.14 percent to Rs 1264.46 crore from Rs 1237.87 crore from a year ago quarter.
Of this, the textile segment reported revenue of Rs 1224.62 crore, up 5.0 percent from Rs 1166.39 crore, while brand and retail segment turnover surged 54 percent from a year earlier quarter to Rs 22 crore.
Driven by other expenses, which went up 18.3 percent, cost of materials consumed ascended to Rs 1103.20 crore the quarter under review, up 6.56 percent from a year earlier quarter.
Profit from operations before other income, financial cost and exceptional items at Arvind, expanded 4.33 percent year-on-year to Rs 164.47 crore in the second quarter of fiscal 2014-15.
Second quarter of fiscal 2014-15 other income, mainly driven by sale of land and fixed assets, zoomed 68 percent to Rs 37.71 crore from Rs 22.44 crore in the same quarter of previous fiscal year.
The higher net income drove profit from ordinary activities before financial cost and exceptional items to Rs 202.18 crore from Rs 180.08 crore in the year ago quarter, up 12.27 percent.
Profit from ordinary activities after financial cost but before exceptional items in the reporting mounted to Rs 120.41 crore, a rise of 10.27 percent from the prior year quarter.
Profit from ordinary activities before tax at Arvind, which also retails renowned global apparel brands ascended 11.61 percent to Rs 117.4 crore in the quarter under review from Rs 105.18 crore.
“We are pleased to note that all our brands and retail formats achieved decent growth rates, although textile segment sales remained muted,” CFO, Jayesh Shah said. (AR)
