K.P.R. Mill (KPRMILL) Q4 16/17 earnings summary

Executive summary

• FY2016-17 consolidated total revenue reached ₹2,844.09 crore, up 8.4% YoY; PAT rose to ₹286.82 crore from ₹210.71 crore, while management reported revenue growth of 13% and PAT growth of 52% on its stated basis.

• Value-added capacity expansion advanced with commissioning of a 36 million-garment facility, Processing Unit II and a high-resolution printing division; management said the new garment capacity was ramping up as planned.

Financial highlights

• Consolidated revenue from operations was ₹2,816.60 crore versus ₹2,600.52 crore; total revenue was ₹2,844.09 crore versus ₹2,624.41 crore in FY2015-16.

• Consolidated PBDIT was ₹590.74 crore versus ₹493.46 crore; PBT was ₹376.90 crore versus ₹283.78 crore.

• Consolidated PAT was ₹286.82 crore versus ₹210.71 crore; total comprehensive income was ₹286.97 crore versus ₹210.76 crore.

• Consolidated basic and diluted EPS was ₹38.17 versus ₹27.87 per ₹5 share; cash generated from operations was ₹573.42 crore versus ₹291.23 crore.

Outlook and guidance

• Outlook was described as positive, supported by domestic demand, urbanization, rising per-capita income, government support for downstream textiles and expected benefits from GST implementation.

• New garment capacity, eco-friendly processing and premium printing were positioned to support value addition; management cited promising order-book positions and client response.

• Management expected stable cotton prices with a normal monsoon and higher output in 2017-18; it also anticipated lower input costs and improved textile-sector earnings prospects.