The company’s net profit from continuing operations rose to Rs 28 crore in the third quarter of the current fiscal (Q3FY25)
With premiumisation trend aiding the company’s performance, Arvind Fashions, a casual and denim player which hosts brands such as US Polo Assn., Arrow, Tommy Hilfiger, Calvin Klein and Flying Machine has marked a considerable on-year (YoY) increase in its net profit from continuing operations in the third quarter of the current fiscal (Q3FY25).
The company’s net profit from continuing operations rose to Rs 28 crore in Q3FY25, compared to Rs 16 crore in Q3FY24, as per the company’s filing on the stock exchange. The revenues grew by around seven per cent to Rs 1,203 crore compared to Rs 1,125 crore in Q3 FY24. The company witnessed growth across retail and online business to consumer (B2C) channel, while wholesale channel stayed flat, as per the official statement.
The company stated that led by investments in upgrading customer experience and differentiated celebrity capsule collections, the retail LTL was strong at 11 per cent. The earnings before interest, tax, depreciation and amortisation (EBITDA) was Rs 174 crore during the Q3FY25, compared to Rs 150 crore in the corresponding period of the previous fiscal.
AFL delivered yet another quarter of differentiated results despite tepid demand scenario across the industry. Retail LTL of 11 per cent is a clear reflection of our conscious investments in upgrading customer experience and celebrity collab collection, helping deliver 7 per cent revenue growth. Favourable channel mix and lower discounting coupled with cost efficiencies resulted in the highest ever quarterly EBITDA and 71 per cent growth in Pat,” stated Shailesh Chaturvedi, Managing Director (MD) and the Chief Executive Officer (CEO) of the company.
EBITDA margins improved by more than 110 basis points (bps) YoY to 14.5 per cent through better channel mix, lower discounting and continued cost optimisation efforts. Gross working capital (GWC) days largely remained stable at 143 days in the recently concluded quarter, as per the company.
