Vardhman Textiles Ltd. has recorded its highest-ever net profit of Rs. 651.88 crores for the year ended March 31, 2014, an increase of 101.37 per cent compared to the previous year’s Rs. 323.72 crores. Net profit for the quarter ended March 31, 2014, stands at Rs. 154.32 crores (Rs. 115.25 crores), an increase of 33.90 per cent. However, net profit for the quarter is lower as compared to the third quarter ended December 31, 2013 (Rs. 175.24 crores).
Net sales of the company for the year ended March 31, 2014, is Rs. 5,171.31 crores as compared to Rs. 4,159.71 crores for the previous year, showing an increase of about 24.32 per cent. EBITDA is Rs. 1,325.33 crores for the year showing a growth of 50.09 per cent over the previous year at Rs. 883.04 crores. The EBITDA margin is also up at 25.63 per cent at the end of the year as against 21.23 per cent.
The Board of Directors has recommended a dividend of Rs. 6 per share. In addition, it has recommended a special dividend of Rs. 5 per share on the occasion of the Golden Jubilee Year of commencement of the group operations.
There has been a spurt in margins over the corresponding period last year due mainly to favorable conditions both in respect of availability of raw material at reasonable cost and pull in demand for textile products with a big rise in exports to China.