The shares of one of the leading manufacturers and exporters of apparel have jumped up to 7 percent following their Q3 results with a 78 percent rise in Profit QoQ.
Price action
With a market capitalization of Rs. 6,500.59 crores on Monday, the shares of Gokaldas Exports Limited jumped up to 7 percent making a high of Rs. 1016.20 per share compared to its previous closing price of Rs. 955.55 per share.
What Happened
Gokaldas Exports Limited specializing in offering a range of products, including shirts, trousers, and casual wear in providing automated solutions for business expense management has announced its Q3FY25 results.
Its Revenue from operations grew by 79 percent YoY from Rs. 552 Crores in Q3FY24 to Rs. 988 Crores in Q3FY25 and it grew by 6.3 percent QoQ from Rs. 929 Crores in Q2FY25 to Rs. 988 Crores in Q3FY25.
Its Net Profit grew by 65 percent YoY Rs. 30.4 Crores in Q3FY24 to Rs. 50.3 Crores in Q3FY25 and it rose by 78 percent QoQ from Rs. 28.2 Crores in Q2FY25 to Rs. 50.3 Crores in Q3FY25.
The earnings per share (EPS) for the quarter stood at Rs. 7.04, compared to Rs. 3.94 in the previous quarter and Rs. 5.02 in the same quarter last year.
About the Company
Gokaldas Exports is a leading manufacturer and exporter of apparel, primarily focusing on the production of garments for global brands. The company offers a range of products, including shirts, trousers, and casual wear. With state-of-the-art facilities in India, Gokaldas Exports caters to markets in North America, Europe, and other regions. It is known for its commitment to quality, sustainability, and ethical business practices in the garment industry.
Financial Metrics and Guidance
The company aims to improve like-for-like EBITDA margins to 12 percent from 11 percent and increase consolidated EBITDA margins by 1.5 percent. It targets a ROCE exceeding 20 percent over the next 2-3 years, driven by improved performance of acquired entities. Revenue is expected to grow at least 15 percent annually, fueled by a strong order book and sourcing trends.
Capacity and Expansion Plans
The new manufacturing unit in Madhya Pradesh is now operational for two major international customers. A second unit in the region is set to begin construction this quarter, with completion expected in nine months. The company is also planning to expand capacity at existing units and lease additional facilities in South India and Ranchi, Jharkhand
Written by Sridhar J
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