3.3 C
Munich
Monday, November 25, 2024

Welspun Living posts Q2 profit surge on higher demand for home linens

Must read


By

Reuters

Published



Oct 25, 2023

Welspun Living reported a multi-fold rise in its second-quarter profit on Wednesday, boosted by strong demand for its bed and bath linens.

Welspun Living posts Q2 profit surge on higher demand for home linens

The company’s consolidated net profit rose to 1.97 billion rupees ($23.6 million) from 86.7 million rupees in the corresponding quarter a year ago, the home textile maker said in an exchange filing.

Rising demand among urban consumers and a reduction in inventory have helped profitability at home textile companies, analysts said. Meanwhile, freight charges correcting to pre-pandemic levels also helped the company’s margins, Welspun said.

Margins on earnings before interest, taxes, depreciation and amortization (EBITDA) improved to 15.4% from 7.1% a year earlier.

Total expenses rose 7.6% during the quarter to 22.83 billion rupees, mainly due to a nearly 23% rise in raw material costs.

The company’s revenue from operations rose nearly 19% to 25.09 billion rupees, led by a nearly 17% climb in its home textiles business.

Welspun Living generates over 90% of its revenue from the home textiles segment, which includes bed sheets, bath linen and curtains under its “Welspun” and “SPACES” labels.

© Thomson Reuters 2023 All rights reserved.



Source link

- Advertisement -spot_img

More articles

- Advertisement -

Latest articles