The consolidated revenue of Arvind Ltd. for the third quarter ended December 31, 2017, stood at Rs. 2,706 crores, registering a growth of 16% over the corresponding quarter of the previous year due to the strong performance in both the textile and brands business. Consolidated EBIDTA grew by 5% to Rs. 248 crores as compared to Rs. 236 crores in the corresponding quarter of the previous year, led by improved profitability in the brand business and despite challenges on account of rupee appreciation in the textile business.
Profit after tax before exceptional items grew by 14% to Rs. 90 crores as compared to Rs. 78 crores in the corresponding quarter of the previous year. Profit after tax was Rs. 79 crores (Rs. 76 crores).
Brands business registered a healthy quarter with profitability ratios improving sharply. Revenue for the quarter was Rs. 961 crores while EBITDA improved almost 123% to Rs. 67 crores. Engineering business, Anup Engineering, also registered strong growth and delivered revenue of Rs. 68 crores during the quarter. For the first nine months, the revenue has grown by 21% to Rs. 139 crores and has delivered an EBITDA of Rs. 28 crores.
Commenting on the results as well as outlook of the company, Mr. Jayesh Shah, Director & Chief Financial Officer, said: “It was a good quarter for our business with both revenue growth and profitability metrics registering an improvement despite reduction in duty drawback rates and other export incentives. While the festive season was relatively slow, demand picked up in November and December, and we expect this growth trend to continue in the coming quarters. Finally on the business restructuring, the process of demerger is proceeding as per expectations, and we expect the three companies to list separately over the next 6-8 months.”