Noida, India | January 31, 2025 – Sheela Foam Limited (BSE: 540203, NSE: SFL) has announced its unaudited standalone and consolidated financial results for the quarter and nine-month period ending December 31, 2024. The company reported strong revenue growth and improved operational efficiency, reinforcing its market position in the mattress and foam segment.
Key Financial Highlights (Standalone)
(₹ in Crores, except EPS)
| Particulars | Q3 FY25 | Q2 FY25 | Q3 FY24 | 9M FY25 | 9M FY24 | FY24 (Audited) |
|---|---|---|---|---|---|---|
| Revenue from Operations | 791.21 | 802.02 | 513.36 | 1,896.92 | 1,392.60 | 1,879.52 |
| Total Income | 802.79 | 808.86 | 535.41 | 1,959.38 | 1,458.95 | 1,576.40 |
| EBITDA | 113.73 | 87.35 | 104.78 | 252.23 | 239.80 | 326.82 |
| EBITDA Margin (%) | 14.4% | 10.9% | 19.6% | 13.3% | 16.4% | 17.4% |
| Net Profit | 20.83 | 29.38 | 30.90 | 99.11 | 119.10 | 168.23 |
| EPS (Basic) | 2.29 | 3.85 | 2.84 | 9.19 | 11.08 | 16.29 |
- Revenue grew by 54.2% YoY, indicating increased consumer demand and improved operational efficiency.
- Net profit declined by 32.6% YoY, largely due to increased manufacturing and employee costs.
Key Financial Highlights (Consolidated)
(₹ in Crores, except EPS)
| Particulars | Q3 FY25 | Q2 FY25 | Q3 FY24 | 9M FY25 | 9M FY24 | FY24 (Audited) |
|---|---|---|---|---|---|---|
| Revenue from Operations | 967.11 | 812.72 | 578.89 | 2,589.59 | 2,137.16 | 2,982.31 |
| Total Income | 974.59 | 844.50 | 610.73 | 2,659.35 | 2,217.59 | 3,099.41 |
| EBITDA | 155.23 | 150.09 | 159.28 | 445.33 | 326.62 | 475.38 |
| EBITDA Margin (%) | 16.0% | 18.0% | 26.1% | 17.1% | 15.0% | 19.1% |
| Net Profit | 18.59 | 25.32 | 30.77 | 75.52 | 118.78 | 183.93 |
| EPS (Basic) | 1.73 | 2.30 | 2.83 | 6.85 | 11.61 | 17.66 |
- Revenue increased by 67.1% YoY, driven by strong performance across key markets.
- Net profit declined by 39.5% YoY, primarily due to increased operational expenses and merger-related costs.
Segment & Market Performance
- The company continues to focus on domestic and international markets:
- Domestic Revenue: ₹782.54 crores in Q3 FY25 (up 14.6% QoQ).
- International Revenue: ₹184.57 crores in Q3 FY25 (down 6.4% QoQ).
- Inventory turnover improved, indicating efficient supply chain management.
Key Developments & Strategic Announcements
Mergers & Acquisitions
- Kurlon Enterprise Merger: The company is in the process of merging Kurlon Enterprise Ltd. with Sheela Foam Ltd. The regulatory approvals are pending before NCLT Mumbai.
- Increased Stake in House of Kieraya (Furlenco): The company increased its stake to 43.89% through an additional ₹53.95 crore investment in equity shares.
Exceptional Items
- Fire-related insurance recovery: Sheela Foam recorded an exceptional gain of ₹10.95 crores, recovering previous losses from a fire accident at its Silvassa unit.
- Sale of Land & Buildings: A gain of ₹29.38 crores from selling land assets in Uttar Pradesh and Silvassa.
ESOPs
- New Stock Option Grants: The board approved 1,35,198 stock options under the SF ESOP – 2022 scheme.
Financial Position & Ratios
(Standalone)
| Financial Metric | Q3 FY25 | Q2 FY25 | Q3 FY24 |
|---|---|---|---|
| Net Worth (₹ Cr) | 2,779.10 | 2,752.59 | 2,637.25 |
| Debt-Equity Ratio | 0.38 | 0.34 | 0.37 |
| Current Ratio | 0.89 | 1.16 | 0.65 |
| ROE (%) | 7.49% | 9.34% | 12.11% |
(Consolidated)
| Financial Metric | Q3 FY25 | Q2 FY25 | Q3 FY24 |
|---|---|---|---|
| Net Worth (₹ Cr) | 3,053.68 | 3,057.03 | 2,958.52 |
| Debt-Equity Ratio | 0.51 | 0.47 | 0.51 |
| Current Ratio | 0.90 | 1.09 | 0.78 |
| ROE (%) | 6.08% | 8.28% | 11.27% |
Management Commentary
Rahul Gautam, Executive Chairman of Sheela Foam Ltd., stated:Strategic Outlook
- Domestic Expansion: Focus on premium mattress and home comfort categories.
- E-commerce Growth: Expansion of online distribution channels.
- Supply Chain Optimization: Focus on inventory management and raw material procurement for improved cost efficiency.
- International Expansion: Strengthening presence in Australia, Spain, and the Middle East.