Kitex Garments Q3 net profit declines 56 percent to Rs 16 crore
Kitex Garments Limited’s net profit for the third quarter ended December 2020 declined 56 percent to Rs 16 crore ($2.2 million), as against Rs 35 crore it reported in the corresponding period of the previous year.
The company’s revenue for the quarter under review was down by 52 percent to Rs 121 crore, as against Rs 251 crore during the previous quarter ended December 2019.
Kitex Garments EBITDA for the quarter was down 50 percent to Rs 30 crore, as against Rs 61 crore in December 2019.
“The Covid-19 pandemic and lockdown impacted normal operations by way of interruption in production, supply chain disruption, and customer order deferrals,” Kitex Garments said in a statement.
Kitex Garments had faced a loss of around Rs 55 crore this year, due to the total lockdown in the country, which affected the company’s production.
The company remains optimistic about the future and plans to make investments of over a $100 million to boost its growth going forward.
Kerala-based Kitex Garments, the third-largest infant garment brand in the world at present, is planning to grab the top spot by 2025. The company also engages in contract manufacturing for private labels such as Jockey, Carter, Babies R Us, Gerber, and Mothercare.
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