BENGALURU: Textile producer Arvind Ltd documented a 9.3% drop in quarterly profit on Wednesday, harm by weak demand for denim clothes.
The Ahmedabad-based mostly firm posted a web income of 841.2 million rupees ($10.30 million) for the a few months finished Dec. 31, from 927.7 million rupees a calendar year before.
The enterprise, which provides fabric to models these types of as Calvin Klein, Ed Hardy, and Tommy Hilfiger, said its quarterly profits from operations fell 12.8% to 19.80 billion rupees from past year.
Although demand from customers and volumes of woven cloth remained steady throughout the quarter, denim ongoing to wrestle owing to decrease demand from customers and above-offer, Arvind said in a assertion.
The firm’s earnings from the textiles phase, which contributes about 80% of the firm’s full income, fell 19.2% to 15.49 billion rupees in the quarter. Earnings from jeans, which is provided in the textiles segment, fell 44.8%.
Its state-of-the-art supplies device noted a 26.5% rise to 3.38 billion rupees.
The price tag realisations commenced to craze down considering that the next quarter reflecting the recent softness in raw content charges, the firm reported.
Arvind’s expenses were being down 11% in the quarter.
“Marco surroundings in US and EU markets has started to clearly show some enhancement in the outlook, nevertheless the overall prognosis nevertheless remains careful offered nevertheless greater-than-target inflation in US, continuing war in Europe and reopening of China,” Arvind claimed.
Desire for Indian textiles in international marketplaces was hit as shoppers minimize investing on clothing pursuing a surge in inflation after the war in Ukraine.