Arvind Ltd Q3FY13 Result Analysis

DSIJ Intelligence / 31 Jan 2013

Arvind Ltd, today, came out with a decent set of numbers for the recently concluded Q3FY13 results.

Arvind Ltd, today, came out with a decent set of numbers for the recently concluded Q3FY13 results. The topline for the company stood at Rs 1405.16 crore for Q3FY13 as against Rs 1208.17 for Q3FY12, thus witnessing a growth of 16.30%. The EBITDA witnessed a gain of 33.83% on a YoY basis to stand at Rs 190.90 crore for Q3FY13.

The bottomline witnessed a growth of 44.53% on a YoY basis to stand at Rs 75.37 crore for Q3FY13. The highlight of the result is that the company has posted a growth in the EBITDA levels inspite of a hefty rise in the raw material cost and employee expenses. Both these components grew by 21.75% and 25.84% respectively on a YoY basis for Q3FY13. The EBITDA and the Net Profit Margin grew by 178 basis points and 105 basis points respectively for Q3FY13 on a YoY basis.

Particulars (Rs/Cr)Q3FY13Q3FY12% Chg
Net Total Income 1,405.16 1,208.17 16.30
EBITDA 190.90 142.64 33.83
Net Profit 75.37 52.15 44.53
EBITDA Margin (%) 13.59 11.81 1.78
Net Profit Margin (%) 5.36 4.32 1.05

On the segmental front, the textiles segment has witnessed a growth of 16.25% and the branded garments segment witnessed a growth of 15.84% for Q3FY13. The finance cost of the company remained almost flat with the outgo for the present quarter standing at Rs 80.33 crore as against Rs 79.07 crore for Q3FY12.

Revenue Break Up
Particulars (Rs/Cr)Q3FY13Q3FY12% Chg
Textiles 954.40 820.96 16.25
Branded Garments 408.24 352.42 15.84
Others 54.04 40.46 33.56
Total Exports 1,416.68 1,213.84 16.71

The markets have reacted positively to the financial numbers posted by the company, who gained by 2.8%. We feel that the company is likely to witness better movement on the bourses backed by better results. We suggest our readers to hold the stock for the time being.