Avinashi (Coimbatore) based SP apparel has proposed to incorporate a subsidiary company in Sri Lanka. The company is said that this step is in consideration of strategic advantages and cost effective manufacturing circumstances.
The company is among the top Indian apparel manufacturers of knitted apparel for infants and children. It has vertically integrated operations.
It also announced its quarter results and witnessed a 42 per cent decline in net profit to Rs. 15 crore for the Q1, FY ’24 compared to Rs. 26 crore for same period of last fiscal. The company’s garment export as well as retail division witnessed declined in the June quarter when compared with the corresponding quarter.
The company’s revenue was down by 4 per cent to Rs. 245 crore in Q1 FY ’24 compared to Rs. 252 crore in Q1 FY ’23.
The company informed that the capacity utilisation, which was 72 per cent in June quarter as against 68 per cent a year ago, has the potential to raise to around 90 per cent by March 2024 to fuel future growth.
