Gokaldas Exports Zooms 16% To Over 3 Year High With Strong Fourth Quarter Results
Shares of Gokaldas exports hit a more than three-year high of Rs 122.5 each after rising 16% in Monday’s intraday trade on BSE after the company’s after-tax profit (PAT) slipped tripled to Rs 16 crore by quarter end. March 2021 (Q4FY21) thanks to a solid operational performance. He had issued PAT of Rs 6 crore in Q4FY20. The title of the textile company was trading at its highest level since January 2018.
In Q4FY21, the company’s operating income increased 3.3 percent to Rs 369.90 crore from Rs 357.90 crore in the corresponding quarter of the previous year. Earnings before interest, taxes, depreciation and amortization (EBITDA) also improved 190 basis points (bps) year-on-year to 10.2%, from 8.3% in the last year quarter.
“The significant year-over-year operating margin growth of approximately 2% is not only the result of revenue growth, but also cost reduction initiatives taken during the year. . Adjusted for this, the EBITDA margin would be 11.3 percent. Major clothing consumer markets have started to return to normal, resulting in a healthy order book for the company, “the company said in a statement. Exports were up 10 percent year-on-year.
Management further stated that the outlook for the industry is positive. “With the vaccination campaign gaining momentum in all the countries to which we export, we anticipate a good recovery in demand in the coming year,” he added.
The company has a strong order book for the quarters to come, based on consistent execution and strong credibility in the eyes of its customers. With most international markets gradually opening up over the course of the year after successfully reaching a vaccination threshold, management anticipates increased demand. The company has the confidence and resilience to take advantage of the opportunity offered by the market and take appropriate action according to government guidelines to manage and grow the business, he said.
As of 12:59 p.m., the stock was up 11 percent to Rs 117.45 on BSE, compared to a rise of 1.29 percent in the S&P BSE Sensex. Over-the-counter trading volumes have more than doubled with a combined total of 3.13 million shares changing hands on the NSE and BSE as of the time of writing.
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