Relaxo Footwear Q4FY22 PAT down -38.7% at Rs62.93 crore on lower sales amidst Omicron lockdowns

12 May 2022 , 05:57 PM

Relaxo Footwear Ltd reported -6.62% fall in sales revenues yoy for the Q4FY22 quarter on consolidated basis at Rs698.19 crore. On a sequential basis, revenues were lower for the quarter by -6.1%.

For the full year FY22, the revenues were higher by 12.5% at Rs2,653 crore. For Q4FY22, the sales in the March quarter were impacted due to temporary cessation of operations due to the Omicron impact and also an impact due to supply chain constraints.

Cash from operations fell by 90% due to spike in inventories and sharply higher levels of trade receivables. This was due to the supply chain constraints in the business.

The consolidated net profit for Q4FY22 was down -38.67% at Rs62.93 crore while it was down on a sequential basis by -9.67%.

The sharply higher inventory holdings led to higher funds getting locked up in the working capital cycle putting pressure on the bottom line of the company.

Net margins stood at 9.01% in Q4FY22 quarter compared to 13.72% in Q4FY21. NPM was lower sequentially against 9.37% in Q3FY22. The board of directors have recommended final dividend of Rs.2.50 per share subject to shareholder approval.

Financial highlights for Mar-22 compared yoy and sequentially

	Relaxo Footwear
Rs in Crore	Mar-22	Mar-21	YOY	Dec-21	QOQ
Total Income (Rs cr)	₹ 698.19	₹ 747.68	-6.62%	₹ 743.52	-6.10%
Net Profit (Rs cr)	₹ 62.93	₹ 102.61	-38.67%	₹ 69.67	-9.67%
Diluted EPS (Rs)	₹ 2.53	₹ 4.10		₹ 2.82
Net Margins	9.01%	13.72%		9.37%