Vishal Fabrics has reported a 46% jump in its revenue in Q3FY22 results. The fabric company has reported ₹427 crore revenue in Q3FY22 against ₹292 crore revenue in Q3FY21. Vishal Fabric, a company which is known for dyeing, printing, and processing denim and other wide range of fabrics, has announced a 97 percent jump in net profit after tax (PAT) as its net profit after tax stands at near ₹19 crores in Q3 FY2021-22 against ₹10 crores net profit after tax in Q3FY21.
Commenting on the strong quarterly performance; Brijmohan Chiripal, Managing Director & CEO at Vishal Fabrics said, “During the quarter the company was able to achieve sustainable margins. The company was able to successfully pass on the additional cost to the customers. Our continuous efforts to keep operating expenses under control helped to maintain EBITDA margins. Moreover, we carried forward the momentum and recorded 46 percent growth in the sale of finished fabrics. Capacity utilization level during the quarter remains stable. Our order book continues to be strong for the fourth quarter of FY22. To deliver superior outcomes to all of our stakeholders, we reaffirm our continuous focus on quality, production efficiency, on-time delivery, design, and innovation. While the short-term headwinds may persist, we continue to be optimistic on the growth opportunities for the Indian textile industry on a long-term basis and our ability to increase utilization level and increase our revenue and market share.”
Comparing the first 9 months’ performance of the company in FY22 with its first 9 months performance in FY21, Vishal Fabrics revenue has shot up 94 percent as its revenue for the 9MFY22 stands at ₹1,121 crores against ₹579 crore revenue in 9MFY21. Its EBIDTA margins for Q3FY22 stood at 10.2 percent as compared to 8.3 percent in Q3FY21, a growth of 191 bps. The company’s EBIDTA for 9MFY22 stands at ₹117 crores against ₹47 crores EBIDTA for 9MFY21. Similarly, net profit after tax for 9MFY22 stands at ₹49 crores against ₹4 crores for 9MFY21.
Vishal Fabrics shares are one of the fast upside-moving stocks in 2022. The stock has surged from ₹89.30 per share levels (close price on 31st December 2021 on NSE) to ₹130.40 apiece levels on NSE today, logging around 46 percent rise in year-to-date time. It is one of the multi-bagger stocks in 2021 as it has shot up from ₹around ₹42 to ₹130.40 levels, appreciating to the tune of nearly 200% in the last year.
