
Raymond Lifestyle Ltd reported its earnings for the December quarter. The company reported a decline in net profit for the quarter, even as revenue and EBITDA increased and margins expanded.
Net profit for the December quarter declined 33 percent year on year to ₹43 crore, compared with ₹64 crore reported in the same quarter last year. The decline in profitability was attributed to the impact of the new labour codes, which led to a one time expense of ₹42.68 crore during the quarter.
Revenue for the quarter increased 5.4 percent year on year to ₹1,849 crore, compared with ₹1,754 crore recorded in the third quarter of the previous year. The company said growth in revenue during the quarter was driven by domestic demand, which supported higher volumes in the branded textile and apparel segments.
Earnings Before Interest, Tax, Depreciation and Amortisation for the quarter rose 32 percent year on year to ₹237 crore, from ₹180 crore in the year ago period. EBITDA margin expanded by nearly 300 basis points to 13 percent, compared with 10.2 percent in the corresponding quarter last year.
The company reported margin expansion during the quarter despite an increase in marketing expenditure. Separately, the board of directors appointed Prasad Ellatch Chathuar as the chief financial officer of the company. The appointment is effective from Tuesday, January 27, as informed by the company to the stock exchanges.
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