Siyaram Silk

For Owner of brands like J Hampstead, Oxemberg, Siyaram MSD, despite the challenging times in the textile sector, the company has remained pretty consistent in its performance. Net revenue is up 22% at Rs.251 crore. The company’s spend on employees is high at Rs.25 crore, 10% of revenue. Over and above this, it also spends another 10% of the revenue on processing and labour charges. Its interest outgo has gone up 24% (YoY). The company ended the quarter with a net profit at Rs.11 crore, up 10% YoY.

The company’s total debt currently stands at around Rs.260 crore but at the same time, has a reserve of Rs.305 crore. On an equity of Rs.9.37 crore, annualized EPS is at Rs.15.27 (Rs.10 FV). The company, at the beginning of the fiscal had announced a capex of Rs.160 crore to expand its fabrics and garments manufacturing capacity. It also planned to open 40 stores, mainly through franchise route but no word on the progress of any of this has been given by the company. In the current fiscal, the company hopes to achieve a turnover of Rs.1200 crore and margins – OPM at around 12% and NPM at 5%. The company has installed 450 looms and it produces 3.25 lakh pieces per month and depending on the market conditions, it plans to install another 48 looms.