Gokaldas Exports (GOKEX) Q3 24/25 earnings summary

Executive summary

• Achieved record total income exceeding INR 1,001 crore in Q3 FY25, with 97% year-on-year and 6% sequential growth; consolidated EBITDA and PAT saw significant year-on-year increases.

• Volume growth for nine months of FY25 reached 50.4 million pieces, up from 20.8 million last year, reflecting acquisition impact.

• Integration of acquired entities (Atraco and Matrix) is progressing, with margin improvement initiatives underway and most headwinds behind.

• Board approved unaudited results for the quarter and nine months ended December 31, 2024.

• QIP completed in April 2024, raising INR 60,000 lakhs, fully utilized as of December 31, 2024.

Financial highlights

• Q3 FY25 total income up 97% year-on-year and 6% sequentially; core business revenue grew 19% year-on-year excluding acquisitions.

• Adjusted EBITDA for Q3 FY25 at INR 117 crore, up 66% year-on-year; margin at 11.7%.

• Q3 FY25 PAT at INR 50 crore, up 65% year-on-year and 79% sequentially.

• 9M FY25 total income at INR 2,88,241 lakh, up from INR 1,56,646.60 lakh year-on-year.

• Depreciation for FY25 is about INR 125 crore, expected to rise by INR 15-17 crore annually in FY26 and FY27.

Outlook and guidance

• Management targets 10-15% annual revenue growth over the next 2-3 years, with the top end considered reasonable.

• Order book remains robust, with strong Fall/Winter and early Spring/Summer placements.

• Capacity expansions in Madhya Pradesh, Karnataka, and Ranchi underway, with all new units expected operational in FY26.

• Acquisition of BTPL expected to provide competitive advantage through backward integration and cost-effective fabric sourcing.

• Longer-term outlook favorable due to global sourcing shifts and supply-side instabilities in competing countries.