Leading textile company Vardhman Textiles has reported 57.1 per cent fall in consolidated net profit to Rs.204.90 crore despite a 3.5 per cent increase in revenue from operations to Rs. 2,469.58 crore in Q2 of FY ’23 over Q2 of FY ’22.
The Ludhiana-based company, known for its quality and innovation, saw total expenses rise by 22.6 per cent Y-o-Y to Rs. 2,235.29 crore during the quarter, due to higher raw material costs (up by 31 per cent Y-o-Y), higher other expenses (up by 9.9 per cent Y-o-Y) and higher depreciation charges (up by 7.8 per cent Y-o-Y).
Profit before tax in Q2 of FY ’23 was Rs. 275.01 crore, down by 56.9 per cent from Rs. 638.33 crore in Q2 of FY ’22.
As per official information, the company saw yarn production of 53,564 metric tonnes in Q2 of FY ’23 compared to 60,596 metric tonnes of Q2 of FY ’22 while sales of the same (including internal transfers) was 51,536 metric tonnes and 61,855 metric tonnes respectively in Q2 of FY ’23 and Q2 of FY ’22.
The production of grey fabric was also down, as it was 459 lakh metres in Q2 of FY ’23 and 526 lakh metres in Q2 of FY ’22.
Processed fabric production was higher in Q2 of FY ’23 as it was 376 lakh metres in this period compared to 365 lakh metres in Q2 of FY ’22.
