S. Kumars Nationwide Ltd. (SKNL), a leading multi-brand conglomerate involved in the design, manufacturing, marketing and distribution of high quality fabrics and ready-to-wear garments, has clocked a net revenue of Rs. 63.643 million during the year ended March 31, 2012, up 21.9 per cent compared to Rs. 3,925 million in 2011.
During the year, EBITDA stood at Rs. 13,470 million (Rs. 10,565 million), an increase of 27.5 per cent. EBITDA margin for the year grew 21.2 per cent and PBT increased to Rs. 6,659 million (Rs. 5,580 million).
Net profit (before minority interest) increased 20 per cent to Rs. 4,708 million compared to Rs. 3,925 million in 2011. PAT, after minority interest, rose 19.3 per cent to Rs. 3,949 million (Rs. 3,309 million). Fully diluted EPS after minority interest stood at Rs. 13.7, up by 12.1 per cent. The Board has recommended Re.1 per equity share of Rs. 10 each to be paid as dividend.
SKNL has reported substantial improvement in revenues and delivered enhanced margins despite a difficult macro-economic environment. This is testimony to its brand strength and operating efficiencies that enabled it to deliver superior returns in varied environments.
Improved brand visi
bility, expanding product portfolio, a de-risked business model with presence across product categories and socio-economic segments, vertically and laterally integrated businesses, seamless supply chain and expansive distribution network have been key drivers of SKNL’s growth. The company performance is reflective of sound business policies, well-defined growth strategies, strong execution capabilities and a bold vision of being a clothier to the nation today and to the world tomorrow.
Commenting on the results and performance for FY2012, Mr. Nitin S. Kasliwal, Managing Director and Vice Chairman of SKNL, said: “I am pleased to share we have made noteworthy progress during the year, with both the revenue and operating profit showing growth in a sluggish economic environment. The year witnessed strategic operational developments enhancing our value proposition, as well as higher volumes and realizations across our product portfolio. ‘Belmonte’ and ‘Reid & Taylor’ continue to be principal drivers of the domestic business with robust performances. The Luxury Cotton division is growing at a steady pace benefiting from increasing utilization levels, and we expect to maintain this momentum”.
The ‘Ready to Wear’ vertical recorded the highest growth across businesses. The company brand ‘World Player’, which caters to the economy segment, is reporting healthy uptake in its product offerings. Equally good was the performance of its international businesses where operational revamps with a focus on cost optimization and a contemporary product offering has fructified into a better margin performance. The company will continue to benefit from these strategic initiatives and report a notable growth in overseas performance over the years.
“We have a comprehensive product portfolio with strong brand equity in Indian and international markets. We are confident of the company’s future prospects as we have the right strategic business model in place with presence across product categories and socio-economic segments, deeper alliances with channel partners, ownership of manufacturing units along with selective outsourcing strategy that will provide a fillip to revenue generation and profitability”, added Mr. Kasliwal.
SKNL manufactures and markets the famous Reid & Taylor brand amongst other well-known brands in India. On September 28, 1990, S. Kumars was incorporated as a private limited company. It became a public company with effect from February 28, 1991. The name was changed to S. Kumars Nationwide Ltd. in October 2000. One of India’s leading textile and apparel companies with expertise in multi-fiber manufacturing, the company has extended its presence in multiple product categories from fabrics to apparels and home textiles.