Gokaldas Exports Reports Strong Q3 FY25 Performance with ₹1001 Cr Revenue Milestone

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Bangalore, India – Q3 FY25 Investor Update
Gokaldas Exports Limited has delivered a strong financial performance in Q3 FY25, crossing the ₹1000 crore total income milestone for the first time. The company reported healthy revenue growth, improved EBITDA margins, and robust business volumes, indicating a stable trajectory.

Key Financial Highlights (Q3 FY25)

Key MetricsQ3 FY25Q3 FY24YoY GrowthQ2 FY25QoQ Growth
Total Income₹1001 Cr₹560 Cr79%₹942 Cr6%
Revenue from Operations₹988 Cr₹552 Cr79%₹929 Cr6%
EBITDA₹117 Cr₹71 Cr66%₹82 Cr42%
EBITDA Margin11.7%12.6%-91 bps8.7%294 bps
Profit Before Tax (PBT)₹67 Cr₹44 Cr55%₹36 Cr89%
Profit After Tax (PAT)₹50 Cr₹30 Cr65%₹28 Cr79%
Management Commentary:
  • The company experienced strong execution and volume ramp-up, particularly from MP Unit-I, contributing to a 19% YoY growth (excluding acquisitions).
  • US retail clothing sales grew by 3% in CY2024, supporting positive demand.
  • Apparel imports by the US & EU rebounded in H2 CY2024 as retailers optimized inventory.

9M FY25 Performance Summary

Key Metrics9M FY259M FY24YoY Growth
Total Income₹2882 Cr₹1591 Cr81%
Adjusted EBITDA₹304 Cr₹194 Cr57%
PBT₹161 Cr₹116 Cr20%
PAT₹106 Cr₹87 Cr22%

Acquired Entities Performance

Gokaldas Exports' acquisitions, Atraco and Matrix, contributed significantly to revenue but continue to have an impact on margins.
MetricGEX (Standalone)Acquired EntitiesTotal (Consolidated)
Total Income (Q3 FY25)₹664 Cr₹337 Cr₹1001 Cr
EBITDA (Q3 FY25)₹79 Cr₹38 Cr₹117 Cr
EBITDA Margin11.9%11.2%11.7%
Management expects acquired entities to benefit from operating leverage in the coming quarters.

Strategic Developments & Expansion Plans

  • Capacity Expansion:
    • A second manufacturing unit in MP is under construction and expected to be completed by Q2 FY26.
    • Continued investments in machinery to support business growth, with a ₹150 Cr capex planned for FY25.
  • Vertical Integration:
    • Strategic investment in BTPL, a fabric processing unit, strengthens raw material sourcing and cost efficiency.
  • Financial Position & Debt Reduction:
    • Net debt reduced to ₹97 Cr, aided by the ₹600 Cr equity capital raised via QIP in April 2024.
    • Current ratio improved to 2.2x from 1.7x as of March 2024, indicating strong liquidity.

Global Apparel Market Trends

  • US retail sales remained resilient, ending 2024 with a 3% growth.
  • India’s apparel exports grew 12% YoY in 9M FY25.
  • China losing market share in US & EU, creating opportunities for India.
  • Shipping freight rates stabilizing after the Red Sea crisis.

Outlook for FY25 & Beyond

  • Order book remains strong, ensuring near-term stability.
  • Favorable global sourcing trends, as brands shift away from China, Vietnam, and Bangladesh.
  • Continued supplier consolidation, benefiting well-capitalized players like Gokaldas Exports.
Management expects sustained growth momentum, driven by higher capacity, improved cost efficiencies, and strong demand from global brands.
 
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