Diversified group Raymond on Thursday posted a consolidated net profit of Rs 159 crore for the second quarter ended September, nearly 198% higher from Rs 53 crore reported in the same period last fiscal. Revenues came in at Rs 2,191 crore, up by 38% against the previous year and by 15% for the corresponding pre-pandemic period.
The company posted its highest Ebitda in the past decade of Rs 358 crore, with Ebitda margin of 16.3%.
The company said the garment export business continued to show resilience and the order book from the US & Europe markets remained healthy in spite of inflation-related challenges.
“All our businesses are delivering consistent growth in both revenues and profitability on a quarter on quarter basis. All four quarters are respectively record quarters in the last 12 months. Our quality products and services are tailored to meet the ever-changing demand from consumers, be it fashion or real estate, and this approach has helped us to achieve profitable growth compared to pre-Covid levels,” Gautam Singhania, chairman and MD, said, adding that Raymond was able to leverage the growing buoyancy in Indian markets across its businesses.
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The real estate sector witnessed sustained demand from homebuyers that contributed to growth in the company’s realty business with varied product offerings. The company’s net debt reduced to Rs 1,286 crore by the end of Q2FY23 compared with Rs 1,310 crore in the end of the first quarter due to free cash-flow generation driven by strong profitability. However, there was an increase in working capital deployment, primarily in production and sales to meet the strong festive and winter wedding demand.