Leading textile manufacturer Arvind Ltd on Wednesday reported a consolidated net profit of ₹53.34 crore for the fourth quarter ended March 2021.
The company had posted a net loss of ₹17.32 crore during the January-March quarter of the previous financial year.
Its revenue from operations stood at ₹1,654.87 crore, marginally up as compared with ₹1,641.56 crore in the year-ago period.
"Denim volumes recovered to 113 per cent of the previous year in the fourth quarter, while woven volumes recovered to 112 per cent," said Arvind in a post-earnings statement.
It, however, reported a drop in garment volumes, which stood at 92 per cent of the previous year's Q4 numbers.
Besides, Ebitda margins in textiles improved to 12.6 per cent, compared with 9.3 per cent a year ago, despite a significant increase in all input costs including cotton, yarns, dyes, chemicals, packaging and transport, it added. Ebitda stands for earnings before interest, tax, depreciation and amortisation.
Arvind's total expenses stood at ₹1,566.36 crore in the March 2021 quarter, down 2.91 per cent as against ₹1,613.37 crore a year ago.
Its revenue from textiles was at ₹1,331.16 crore, down 1.46 per cent as against ₹1,350.85 crore a year ago.
Advance material was up 11.33 per cent to ₹198.65 crore, compared with ₹178.43 crore a year ago.
For the financial year ended on March 2021, Arvind reported a net loss of ₹27.39 crore. It has a net profit of ₹92.10 crore in the previous year.
Its revenue from operations was down 31.2 per cent to ₹5,072.98 crore in 2020-21. It was ₹7,369 crore in 2019-20.
According to the Ahmedabad-based company, its "net borrowings reduced by ₹132 crore for the quarter and ₹421 crore over the course of the full financial year 2021".
Meanwhile, Arvind Ltd also informed that its board in a meeting held on Wednesday has "not recommended dividend on equity shares" for the year ended March 31, 2021.
The board has also approved a proposal to raise Rs 200 crore from market through a private placement basis by issuing non-convertible debentures (NCDs). The fund will be used for general corporate purposes, including capital expenditure, augmenting long-term working capital and re-finance of existing loans.
Shares of Arvind Ltd on Wednesday closed 1.68 per cent higher at ₹78.50 on the BSE.