Q2 Profit Jumps 11%: Textile Stock Declares Bonus Preference Share, 200% Dividend

Leading textile sector company Siyaram Silk Mills Ltd on October 26, 2024 announced a surge of 11.3% YoY in its net profit for the quarter ended September 30, 2024 to Rs 68.2 crore as against Rs 61.3 crore announced in the corresponding quarter of last year. Its revenue from operation surged 3.7% to Rs 608 crore as compared to Rs 586 crore declared in the similar quarter of last year. Last trading price of Siyaram Silk Mills shares on BSE is Rs 532.70 per share with intraday fall of 1.06%. The company's market capitalisation stood at Rs 2416.86 crore. Its ROE stood at 16.36 and PE at 12.95. Check details below:

Siyaram Silk Shares Performance: The 52-week high price of Siyaram Silk shares on BSE is Rs 566.60 per share and 52-week low price is Rs 411.00 per share. Siyaram Silk shares surged over 9% in last 1-month, rose over 11% in last 6-months, gained marginally by over 1% in last 1-year, and rallied 123% in last 5-years. Siyaram Silk shares fell less than 1% so far in 2024.

Siyaram Silk Recommends Dividend: As per the exchange filing dated October 26, 2024, "considered and declared 1st Interim Dividend of Rs. 4/- (200%) per equity share on the Paid up Equity Shares of Rs. 2/- each, for the Financial Year 2024-25. The Interim Dividend will be credited/paid/ dispatched on or after 14th November, 2024 as per applicable provisions of Companies Act, 2013, to such shareholders as on Record Date i.e. 6th November, 2024."

Siyaram Silk Declares Bonus Shares: The exchange filing added, "approved Scheme of Arrangement between the Company and its shareholders under Section 230 of the Companies Act, 2013 ("Scheme"), which, inter alia, provides for issuance and allotment of Preference Shares (as defined under the Scheme) in two series i.e. Preference Shares - Series I; and (ii) Preference Shares - Series II, by way of bonus, to the equity shareholders of the Company."

Siyaram Silk Q2: EBITDA for Q2FY25 grew by 10% at Rs 110 crores as compared to Rs 100 crores in Q2FY24. EBITDA margin for Q2FY25 stood at 17.5% as compared to 16.7% in Q2FY24. ✓ Total Income for Q2FY25 stood at Rs 629 crores as compared to Rs 597 crores in Q2 FY24 showcasing a growth of 5% on a y-o-y basis. Commenting on the results Mr. Gaurav Poddar, Executive Director, Siyaram Silk Mills Limited said: "In Q2 FY25, domestic demand has gained momentum as we enter the festive season, supported by the destocking of supplier inventories and increased discretionary spending by consumers."

To capitalize on the growing demand, we are expanding our footprint with approx. 30 new fast fashion and ethnic retail outlets by March 2025 of which 12 will be opened by December 2024. The fast fashion outlets, branded ZECODE, will feature the latest collections targeting urban shoppers seeking trendy, affordable apparel. Our ethnic clothing outlets, branded DEVO, will showcase an extensive range of clothing that caters to the city's rich cultural heritage and style preferences, added Gaurav Poddar.

Disclaimer: The stock highlights the dividend, Q2, bonus shares and is not a recommendation to buy, sell or hold. We have not done fundamental or technical analysis and have no opinion on the stock mentioned. Neither, the author nor Greynium Information Technologies should be held liable for any losses. Please consult a professional advisor.