Lagnam Spintex Q1 Results: Net Profit Grew To Rs. 1.58 Cr On Higher Sales Growth of 123%

In its board meeting on August 3, 2024, Lagnam Spintex Limited, a prominent producer of premium cotton yarns with its headquarters in Bhilwara, revealed its results for the quarter that ended on June 30, 2024. The total revenue for Q1FY24-25 jumped by 123% to Rs 160.03 crores from Rs 71.75 crores in Q1FY23-24. The new product portfolio they launched as part of their growth strategy and their outreach to new domestic and international markets were the main causes of the revenue gain.

The company reported a net profit of Rs Rs. 1.58 Cr in the quarter under review up by 15.73% from Rs 1.36 Cr in Q1FY24.

With a significant growth of 90.95%, the EBITDA for the quarter ending in Q1FY24-25 grew to Rs 13.77 cr from Rs 7.21 cr in Q1FY23-24. Comparing Q1FY24-25 to Q1FY23-24, the Earning Per Share grew to Rs. 0.89 per equity share. The export quantum climbed significantly by 187.12%, from 978 MT in Q1FY23-24 to 2808 MT in Q1FY24-25. Comparing Q1FY24-25 to Q1FY23-24, the export turnover climbed enormously to Rs. 77.88 cr, or 193.38%, more than in Q1FY23-24.

"The increase in export revenue was seen in Q1FY24-25 mainly because of our new compact yarn product offering in quality conscious markets of Europe, Columbia, Egypt, Morocco, Peru and our existing well establish market of Bangladesh, United States, Italy etc," said Lagnam Spintex.

Mr. Anand Mangal, Promoter and Managing Director of Lagnam Spintex said, "The company has given steady performance despite of global economic downturn which has led to uneven demand. With our expansion project the company is focused on optimizing capacity utilization and product mix. Our product quality from expansion project has continued to help us in expanding our market base in both the Domestic and Export markets."

Lagnam Spintex is a pioneer in the cotton yarn manufacturing market thanks to its unrelenting dedication to innovation, quality, and customer satisfaction. With its plans for growth and strategic operations, Lagnam Spintex is well-positioned to maintain its leadership position and keep providing outstanding products to its esteemed clientele around the globe.

On Monday, the shares of Lagnam Spintex opened on the NSE at Rs 146 apiece. The stock touched a 52-week-high of Rs 175.76 on (22-Jul-2024) and a 52-week-low of Rs 62.75 on (04-Oct-2023). The price-to-earnings ratio of the company is 17.92, which is less than the 67.14 sector PE ratio.