Nandan Denim Ltd. (NDL), India’s second largest integrated denim fabric manufacturer, has reported a net profit of Rs. 15.50 crores for the first quarter of 2015-16 as against Rs. 11.47 crores in the corresponding period of 2014-15, a rise of 35 per cent. Net sales for the quarter at Rs. 280.50 crores were higher by six per cent over Rs. 263.68 crores for the same period of the previous quarter.
Mr. Deepak Chiripal, CEO, Nandan Denim Ltd., said: “The company is following its well-defined charter of growth, and we are pleased with the performance so far. A disciplined approach in line with the long-term strategy would enable us to further cement our position in the industry. We are investing towards creation of machining and manpower competence to build a brand that would be synonymous with the consistent quality and timeliness of delivery.”
During the quarter, the company reported 14 per cent of revenues from export markets. As of now, it exports to 28 countries.
The total expenditure on NDL’s proposed capacity expansion of Rs. 612 crores is progressing as per plan. The major CAPEX orders have already been finalised and civil activities are in full swing. The company expects to commission complete facilities in the first quarter of 2017.
NDL commenced its operations in 1994 with textile trading business and forayed into textile manufacturing in 2004. It currently manufactures denims, cotton fabrics and khakis.
A part of the Chiripal Group established in 1972, NDL is currently diversified across several businesses like textiles, petrochemicals, chemicals, packaging, infrastructure and education.
Headquartered in Ahmedabad, NDL has expanded its capacity from 6 MMPA to the intended capacity of 110 MMPA over the last 10 years. Further, it has worked out a capacity expansion plan to strengthen the domestic market share and expand export business with an increased focus on value-added segments. Post expansion, it will become the largest denim manufacturer in the country and the fourth largest in the world.