Mumbai, January 28, 2025 – PDS Limited (NSE: PDSL, BSE: 538730) has announced its Q3 FY25 financial results, reporting a net profit of ₹4,245.22 lakh, while revenue from operations surged to ₹3,12,487.73 lakh, reflecting strong growth in sourcing and manufacturing segments. The company also approved the acquisition of a 55% stake in Knit Gallery India Private Limited and the issuance of a ₹1,206.95 crore corporate guarantee.
Key Financial Highlights – Q3 FY25 (Consolidated)
| Metric | Q3 FY25 | Q3 FY24 | YoY Change |
|---|---|---|---|
| Revenue from Operations | ₹3,12,487.73 lakh | ₹2,57,977.88 lakh | +21.1% |
| Total Income | ₹3,13,384.75 lakh | ₹2,59,545.19 lakh | +20.7% |
| EBITDA | ₹22,621.76 lakh | ₹16,107.11 lakh | +40.5% |
| Net Profit (PAT) | ₹4,245.22 lakh | ₹2,549.82 lakh | +66.5% |
| Earnings Per Share (EPS) | ₹1.77 | ₹1.11 | +59.5% |
- Revenue: ₹9,05,221.92 lakh (+26.5% YoY).
- Net Profit: ₹16,681.51 lakh (+21.5% YoY).
Major Strategic Announcements
1. Acquisition of 55% Stake in Knit Gallery India Pvt. Ltd.
- Investment Amount: ₹41.34 crore.
- Purpose: Expansion of manufacturing capabilities in India, strengthening sourcing and export potential.
- Projected Turnover & Profitability:
- Combined Turnover (Knit Gallery + KG Firm): ₹287.80 crore.
- Combined Net Profit: ₹17.86 crore.
- Completion Timeline: Expected by May 31, 2025.
2. Issuance of ₹1,206.95 Crore Corporate Guarantee
- Recipient: Standard Chartered Bank.
- Guarantee For: Step-down subsidiaries in Hong Kong (Simple Approach Ltd, Krayons Sourcing Ltd, Nor Lanka Manufacturing Ltd).
- Purpose: Securing Import Trade Finance Facility for subsidiaries.
- Impact on Financials: No material impact, as subsidiaries’ financials are consolidated.
Business Performance & Expansion
1. Sourcing & Manufacturing Growth
- Sourcing Business Revenue: ₹3,03,991.93 lakh (94.8% of total revenue).
- Manufacturing Revenue: ₹16,561.22 lakh (5.2% of total revenue).
- Geographic Expansion: Strong demand from Europe, North America, and Southeast Asia.
2. Strengthened Financial Position
- Debt Management: No significant increase in leverage due to strong revenue growth.
- Liquidity Position: ₹4,550 crore in cash & equivalents.
Management Commentary
Pallak Seth, Vice Chairman, PDS Limited, stated:"Our strategic acquisition of Knit Gallery India will enhance our manufacturing footprint, while the corporate guarantee will support global sourcing operations. With strong revenue growth and operational efficiency, we are well-positioned for long-term value creation."
Strategic Outlook & Future Growth Plans
- Further expansion in high-margin apparel and textile segments.
- Strengthening global manufacturing & supply chain efficiencies.
- Investments are sustainably and ethically produced.