• Indian Home textiles Spinning Unit expanding capacity from 1,15,000 spindles to 1,40,000 spindles and is progressing as scheduled, While processing unit at Vapi is running at 62% capacity utilization during the quarter, catering to Rosebys, Dan River and gearing up for Domestic market. However, the impact of Rupee Dollar appreciation had affected the margins of the Home Textiles Business. • Cambodia Textile manufacturing Unit of approx. capacity 11 million meters running at 90% utilization and supplying to US based Institutional customers. • GHCL consolidates Dan River Group operations with an order book in the region of $350 million, led by strong marketing, outsourcing and HR initiatives. Has developed over 50 vendor relationships for the outsourcing from India, China, Pakistan, Mexico, and Turkey. • Integration of institutional sales of Best Manufacturing Inc. with Dan River on track to leverage the client base to over 900 institutional customers. • The Retail arm – Rosebys in UK has launched its e-commerce Portal Business Model and also is in the process of revamping the Store outlooks and Product ranges.
Commenting on the performance for the period ended June 2007, Mr. Sanjay Dalmia, Chairman, GHCL Limited, said: “We have had a significant quarter's performance on the back of strong growth witnessed in the home textiles arena. With the firming up of the prices in soda ash, we expect a strong performance in the coming quarters from it as well.”
“It's been a fast evolving scenario calling for a quick response in order to leverage the opportunity. The company is continuously gearing to address the needs and opportunities being thrown up by the environment.”
We are approaching the time when we would be able to fully leverage our business model after successfully integrating our Indian and foreign operations both in the soda ash and textiles businesses.”
Corresponding Quarters ended June 07 vs. June 06: The Company has posted a sustained financial performance for Quarter Ended June 07 • Net Sales / Income from Operations for the quarter ending June 07 has risen 42% to Rs. 235.50 Crores from Rs. 165.70 Crores reported in June 06 • EBITDA for the quarter at was Rs. 67.31 Crores as against Rs. 64.85 Crores reported in June 06 showing a rise of 4% approximately. • PAT for the present quarter was at Rs. 31.55 Crores as against Rs. 31.05 Crores for June 06 showing a rise of 2%. • EPS for the quarter is at Rs.3.17 (basic)
Business Mix: • Home Textiles division revenue during the quarter (June 07) accounts for 36% of the total revenue • Home textiles division has grown at rate of 184% from Rs. 30.58 Crores in June 06 quarter to Rs. 86.96 Crores in the present quarter(June 07).
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