Apparels & Accessories company Lux Industries announced Q1FY24 results:
- Income from Operations of Rs 525.4 crore in Q1FY24 compared to Rs 571.7 crore in Q1FY23, down 8% YoY.
- EBITDA of Rs 33.2 crore in Q1FY24 compared to Rs 77.8 crore in Q1FY23, a decrease of 57% YoY.
- EBITDA Margin (%) of 6.33% in Q1FY24 compared to 13.61% in Q1FY23.
- Profit After Tax of Rs 15.1 crore in Q1FY24 compared to Rs 50.0 crore in Q1FY23, a decrease of 70% YoY.
- PAT Margin (%) of 2.88% in Q1FY24 compared to 8.74% in Q1FY23.
Commenting on the Industry Trends, Ashok Kumar Todi, Chairman said,
"FY23, the hosiery industry faced multiple challenges arising from various factors. These challenges encompassed reduced on-ground demand, disruptions in the supply chain, and volatility in raw material prices, all contributing to decreased volumes and profit margins. These obstacles are expected to have some ripple effect even in the first half of FY24, as still there is some ongoing difference between domestic and international cotton prices.
Amid this difficult industry landscape, Lux has fairly navigated these challenging market conditions with state-of-the-art manufacturing facilities, a wide range of legacy brands, and a deeply penetrated supply chain network. The Company’s Q1 FY24 financial performance was in line with the management estimates. The Company during the period reported a revenue of Rs 525.4 crore compared to Rs 571.7 crore last year.
The Company remains focused on continuing to increase its market share across key geographies and channels through its legacy and power brands like Lux Cozi, Lux Venus, Lux Inferno, Lux Cottswool, Lyra, and ONN among many others. Moreover, the Company’s commitment to enhancing working capital cycles and optimizing inventory management continues to be a driving force, as it strives to fortify its competitive edge in this dynamic and evolving industry landscape.”