Sangam (India) Ltd's Q3FY25 Quarterly Results
- 13 Feb 2025
Result Summary
- Sangam (India) Ltd reported a 10.9% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 20.3%.
- Its expenses for the quarter were up by 10.1% QoQ and 19.8% YoY.
- The net profit decreased 55.9% QoQ and decreased 35.7% YoY.
- The earnings per share (EPS) of Sangam (India) Ltd stood at 0.5 during Q3FY25.
Financial Statments for Q3FY25
Total Income | 750.80 | 677.04 | 624.02 | 10.9% | 20.3% |
Total Expenses | 740.32 | 672.38 | 617.98 | 10.1% | 19.8% |
Profit Before Tax | 8.82 | 3.00 | 4.38 | 194.0% | 101.4% |
Tax | 6.37 | -2.55 | 0.57 | -349.8% | 1017.5% |
Profit After Tax | 2.45 | 5.55 | 3.81 | -55.9% | -35.7% |
Earnings Per Share | 0.50 | 1.40 | 1.10 | -64.3% | -54.5% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Sangam (India) Ltd is a prominent player in the textile industry, primarily engaged in the manufacturing and distribution of yarns, fabrics, and garments. The company caters to both domestic and international markets, providing a diverse range of products including polyester and viscose dyed yarn, cotton and synthetic blended fabrics, and denim. Sangam (India) Ltd is recognized for its integrated facilities that span spinning, weaving, and garmenting, which allows it to maintain control over the quality and cost of production. As of the latest update, there are no specific recent major developments publicly disclosed about Sangam (India) Ltd.
Revenue
In Q3FY25, Sangam (India) Ltd reported a total income of ₹750.80 crores, marking a quarter-over-quarter (QoQ) increase of 10.9% from ₹677.04 crores reported in Q2FY25. On a year-over-year (YoY) basis, the company experienced a 20.3% growth in total income compared to ₹624.02 crores in Q3FY24. This consistent increase in revenue can be attributed to various factors including potential market expansion, increased sales volume, or enhanced product offerings. The revenue figures reflect the company's capability to generate higher sales even amidst fluctuating market conditions.
Profitability
The company's profitability in Q3FY25 showed notable changes. The profit before tax was ₹8.82 crores, up significantly by 194.0% QoQ from ₹3.00 crores in Q2FY25, and 101.4% YoY from ₹4.38 crores in Q3FY24. However, the tax expense for Q3FY25 was ₹6.37 crores, a stark contrast to a tax credit of ₹2.55 crores in the previous quarter, reflecting a -349.8% QoQ change. Despite increased earnings before tax, the profit after tax decreased to ₹2.45 crores in Q3FY25, down by 55.9% QoQ from ₹5.55 crores in Q2FY25 and 35.7% YoY from ₹3.81 crores in Q3FY24. This decline in net profit despite higher pre-tax earnings highlights the impact of increased tax obligations on the company's bottom line.
Operating Metrics
For Q3FY25, the earnings per share (EPS) was recorded at ₹0.50, a 64.3% decrease from ₹1.40 in Q2FY25, and a 54.5% reduction YoY from ₹1.10 in Q3FY24. This EPS decline corresponds with the reduction in profit after tax, illustrating the diminished earnings available to shareholders. The total expenses for Q3FY25 stood at ₹740.32 crores, showing a 10.1% increase QoQ from ₹672.38 crores in Q2FY25, and a 19.8% rise YoY from ₹617.98 crores in Q3FY24. The expenses have grown in tandem with revenue, which could be due to increased operational activities or cost factors. Despite the rise in expenses, the company managed to maintain a positive profit before tax, indicating operational leverage and efficiency.