Raymond Ltd posts Q1 net loss of Rs 12 crore

By

Maverick Martins

Published
Aug 2, 2019

Apparel and textiles major Raymond Ltd reported a net loss of Rs 12 crore ($1.8 million) for the first quarter ended June 2019 due to sluggish market conditions and liquidity crunch.
 

The company had reported a net profit of Rs 2 crore during the same period for the fiscal year 2018.
 
Raymond’s revenue for the quarter witnessed a 15 percent jump to Rs 1,435 crore as against Rs 1,251 crore it had reported in the corresponding quarter of the previous fiscal.

Branded textile and apparel segments were the major contributors to the company’s overall revenue contributing Rs 600 crore and Rs 313 crore respectively.
 
The total expenses of the company stood at Rs 1,481 crore for the quarter climbing 16 percent as against Rs 1,281 crore it reported in the year-ago period.
 
"We have delivered a healthy top line growth in a moderate quarter witnessing sluggish market conditions, subdued consumer sentiment and liquidity crunch impacting our trade channel," Raymond chairman and managing director Gautam Hari Singhania said in a statement.
 
“As the economy in general is showing the signs of muted growth in the short term along with weak consumer sentiments, we stay invested in our core fundamentals and expect to be on course during these testing times,” he added.
 
During the April-June period, Raymond opened 42 new stores and closed 28 of its stores across India to cut down its losses.