Turnover of RSWM Ltd. for FY22 2022 at INR 3,850 Cr, up 63%; EBITDA at INR 464 Cr, up 116%; PAT at INR 240 Cr, up to ~11 times (Annual)

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Turnover of RSWM Ltd. for FY22 2022 at INR 3,850 Cr, up 63%; EBITDA at INR 464 Cr, up 116%; PAT at INR 240 Cr, up to ~11 times (Annual)

Posted May 29, 2022

  • Total sales recorded for FY22 stand at INR 3,817 crore, 64% YoY
  • Recorded export sales INR 1,419 crore up 87% YoY
  • EBITDA for FY22 stands at INR 464 crore vs. INR 215 crore for FY21
  • PAT sits at INR 240 crore up to ~11x
  • The Board of Directors has recommended its dividend of 250% to the shareholder, i.e. Rs 25 per share of par value Re. 10.0 each for the year ended March 2022. shareholder approval.

New Delhi: RSWM Ltd., RSWM is one of the largest manufacturers and exporters of value added synthetic fibers, blends, blended yarns and denim fabrics from India, today announced its financial results for the quarter and the fiscal year ended March 31, 2022.

Financial performance and business outlook for Q4 and FY22 (INR in Cr):

Details Q4FY22 Q4FY21 Growth EX22 FY21 Growth
Sales 1,121 836 34% 3,817 2,326 64%
EBITDA 142 135 5% 464 215 116%
EBITDA margin 12.7% 16.1% (340 basis points) 12.2% 9.2% +300 basis points
TAP 110 73 51% 240 22 ~11x
PAT margin 9.8% 8.7% +110 basis points 6.3% 0.9% +540 bps

Business update:

  • Highest-ever sales growth in FY22 driven by volume and value growth
  • Festive gatherings and unrestricted wedding seasons expected to boost H2 demand seen in domestic and export market
  • Strong achievement led to PAT growth of INR 240 Cr up to ~11x
  • Capex investment of INR 410 Cr in expansion of denim fabric manufacturing capacity, cotton blend yarn manufacturing capacity and upgrading and balancing equipment in all units started in Q1FY22, is progressing as planned.
  • The company plans to invest INR 315 Cr to increase the spinning capacity of the Banswara unit by 51,000 spindles.
  • The company’s board of directors has recommended a dividend of Rs 25 per share of par value Re. 10.0 each for the financial year ending March 2022. The same amount will be paid subject to the approval of the ‘shareholder
  • The Board of Directors has approved the right issuance of share capital up to ~250 Cr INR, will be used for repayment of long term debt and increase of long term working capital

Commenting on the results, Mr. Riju Jhunjhunwala, President and Managing Director of RSWM Ltd., said: “In FY22, RSWM demonstrated strong execution and showcased the inherent strengths of its business model. We delivered substantial revenue growth, margin expansion and earnings growth to create value in a challenging operating environment marked by the continued impact of the global pandemic, geopolitical upheaval, inflationary trends and bottlenecks. bottleneck in the supply chain. coming quarters and remain focused on execution and agile in the face of market opportunities. At RSWM, we are now ready to take the leap to transform our business to the next level. We remain committed to future growth plans by focusing on improving our product portfolio, geographic reach and improving efficiency for higher return on investment. We now look to the future with enthusiasm and determination, confident in our ability to generate continued value for stakeholders by delivering on the strategic business plan.”

Sallie R. Loera