Leading denim manufacturing and fabric processing company and part of Ahmedabad-based Chiripal Group, Vishal Fabrics Limited (VFL) has announced Q1 FY22 results.
During this period, the net sales of the company touched Rs. 294.93 crore, at a growth of 338.10 per cent compared to Q1 FY21. Profit after tax (PAT) was Rs. 10.24 crore, at a huge growth of 225.5 per cent.
However, the gross profit margin for Q1 FY22 stood at 18.0 per cent as against 21.7 per cent in Q1 FY21.
The company says that higher utilisation levels led to increase in overall sales, and reduction in finance costs helped to improve profitability.
Brijmohan Chiripal, MD & CEO of the company commented on the results, “The results of the first quarter of FY22 demonstrate the resilience of our company’s strong operating performance. Domestic demand and improvement in exports contributed to our growing sales. Increase in raw material prices impacted gross margin during the quarter. However, various cost reduction measures helped us to sustain EBITDA margins. Capacity utilisation level during the quarter remains stable.”
He further added that going forward, the company’s endeavour is to reduce its debt and achieve equity mix, which will help strengthen its balance sheet.
It is important to mention here that Vishal Fabrics Limited claims to constantly strive to improve its manufacturing facilities and aims to develop India’s leading dyeing, printing and processing units.
Its state-of-the-art manufacturing facilities are equipped with the latest technology and deliver innovative products that adhere to international quality standards.
