K.P.R. Mill (KPRMILL) Q4 22/23 earnings summary

Executive summary

• FY23 consolidated revenue rose 28% YoY to ₹6,24,820 lakh; Garments supported performance as high-cost cotton and lower yarn realisations compressed Spinning spreads.

• Consolidated PBDIT increased to ₹1,33,671 lakh, while PBT and PAT declined YoY amid higher finance costs and input-cost pressure.

Financial highlights

• Consolidated revenue from operations was ₹6,18,588 lakh vs ₹4,82,248 lakh; total income was ₹6,24,820 lakh vs ₹4,90,970 lakh.

• Consolidated PBDIT was ₹1,33,671 lakh vs ₹1,30,593 lakh; PBT was ₹1,08,416 lakh vs ₹1,14,152 lakh, and PAT ₹81,410 lakh vs ₹84,184 lakh.

• Consolidated EPS was ₹23.81 vs ₹24.47; finance costs rose to ₹7,886 lakh from ₹2,329 lakh.

• Operating cash flow was ₹29,867 lakh vs ₹49,423 lakh; capital expenditure was ₹37,902 lakh and closing cash and equivalents ₹10,858 lakh.

Outlook and guidance

• Cotton prices had started stabilising and garment order positions remained encouraging; management expected supportive government policies and FTAs to create market opportunities.

• ₹100 crore textile modernisation and ₹100 crore Vortex spinning mill were expected to complete in FY24; ₹50 crore processing and printing expansion was targeted for H1 FY24.

• ₹150 crore ethanol expansion was planned to start before Sugar Season 2023-24; management cited potential total ethanol capacity of 480 KLPD.

• Brownfield garment expansion could add 10–20 million pieces annually; FASO’s Pan-India rollout was set to expand further.