नंदन डेनिम

बीएसई: 532641  |  NSE: NDL  |  ISIN: INE875G01030  |  Textiles - Denim

खोजें नंदन डेनिम कनेक्शन Mar 16
अध्यक्षीय भाषण साल : Mar '18

Dear Shareholders,

In a competitive and challenging industry like textiles, it is imperative to grow consistently year after year.

At Nandan Denim we not only grew in a volatile industry scenario, but outperformed the industry growth as well. Our topline line grew by 30.20 % from RS.1220.41 crore to RS.1588.92 crore in 2017-18.

The financial period gone by was marked by a number of changes rendering the external environment to be volatile. The global economy that is facing an economic growth from emerging economies and revival of advanced economies is expected to grow at 3.4% in 2017, backed by relatively stable inflation. The Indian economy continues to be among the fastest growing economies in the world, and is expected to maintain its growth in the coming years.

The textile industry plays a key role in the Indian economy with its strong and competitive value chain. Indian textile industry has an abundant supply of raw material including wool, cotton, silk, jute and man-made fibre coupled with strong manufacturing capacities in spinning, knitting, weaving and apparel. The new tax regime, GST, worked as a hurdle for many industries, with the textile industry being worst hit. To further aggravate the textile industry, the cotton prices witnessed a substantial increase in prices. The reasons being fall in production, the quality of cotton being affected by pink boll worm attack and the emergence of Pakistan as a new buyer for the Indian cotton.

Despite these, the robust business model of your Company helped it to face the headwinds in a positive manner and record a healthy bottomline of RS.46.73 crores, EBITDA of RS.225.84 crores and EBITDA margin of 14.2%. Our foresightedness and philosophy of ‘Learn’,’Apply’ and ‘Achieve’ has helped us wither the macroeconomic factors and lead your Company to deliver sustainable performance. Having a largely domestic revenue share, we are now strategically shifting towards expanding our global presence, adding more to the 27 nations we are already present in. This enabled us to achieve revenue from exports to more than 7% of total turnover. The increase in valuation and an overall healthy position of your Company has enabled it to attract investment of more than 9% by FIIs during the year. Despite challenging business environment, we strengthened our operations with effective cost management, due to captive power plant of 15MW. Our financial liquidity enabled us to repay our debts of RS.57.78 crore and improve our interest coverage ratio.

Our investment in last few years has resulted in increased capacity of denim manufacturing to more than double. Our capacity addition has enabled us to upgrade our position as amongst the largest denim manufacturer in India. The latest expansion was partly made towards increasing the spinning capacity at our Bareja plant. The expansion was done in a feasible manner with opportunities readily available for our products. The sound infrastructure of your Company alleviated the total production capacity to attain a level of 2.25 lakh meters of fabric per day.

Our ability to launch new products is a testimony to the significant investments we have made towards product development during the current fiscal. Keeping pace with consumer sentiments made it imperative to have a dedicated design team, competent in developing customized designs. This has helped us recognize emerging trends and proactively respond with commensurate investments.

The state-of-the-art facility has helped us to reduce the turnaround time for production, thus, ensuring faster development of products.

We recently obtained Oeko-Tex certification and are in the process to attain more certificates that would help us benchmark our facilities globally.

While we keep pace with changing industry trends, we remain vigilant with our inventory management policies, allowing us to manage with low inventory. The efficient inventory management helped increase sales, maintain prudent working capital and increased productivity.

The Indian textile industry is undergoing a difficult transition phase. New taxation reforms are yet to find stability; volatile raw material prices continue to impact margins and pricing pressure remains an area of concern. At Nandan, we mitigated these challenges with our integrated model and increasing focus on quality. We increased proportion of our value-added products thereby strengthening our margins. This interplay of methodologies shall help create enhanced value for our stakeholders.

I would like to thank our customers, bankers, employees, management and the Board for their continued support. I am optimistic of Nandan Denim’s accelerating growth and retaining its industry prominence.

Vedprakash Chiripal


स्रोत: रेलीगरे टेचनोवा

न्यूज़ फ़्लैश

  • MARKET CUES : FIIs ने कैश में `271 Cr की बिकवाली की
  • MARKET CUES : DIIs ने कैश में `309 Cr की खरीदारी की
  • MARKET CUES : FIIs ने F&O में `58 Cr की बिकवाली की
  • MARKET CUES : इंडेक्स फ्यूचर्स में `299 Cr की बिकवाली की
  • MARKET CUES : इंडेक्स ऑप्शंस में `413 Cr की खरीदारी की
  • MARKET CUES : स्टॉक फ्यूचर्स में `124 Cr की बिकवाली की
  • HSBC ON CASTROL : BUY रेटिंग, लक्ष्य बढ़ाकर `165/Sh
  • MS ON FUTURE RETAIL : Overweight रेटिंग, लक्ष्य घटाकर `540/Sh
  • CREDIT SUISSE ON ITC : Outperform रेटिंग, लक्ष्य `330/Sh
  • MORGAN STANLEY ON GRASIM : Overweight रेटिंग, लक्ष्य `875/Sh

अभी देखें

कमोडिटी राउंडअप




(August 06, 2018)

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