In the second quarter of this financial year, owing to a rise in demand and falling rupee, most textile and apparel export companies witnessed growth in their top line as well as bottom line growth.
Rupee in the June to September quarter hit a low of Rs 68.83 per dollar on 28 August, while during the quarter the average of rate of rupee per dollar was Rs 62.07. India's total textile exports till September this fiscal stood at 13.6 billion dollars (Rs 84.7 crores) from April till September this fiscal compared to 12 billion dollars (Rs 74.8 crores) in the same period last year.
Textile exports in the last few months have witnessed positive demand along with increase in cotton yarn exports to China. For instance, Vardhaman Textiles saw 30 per cent growth in their revenues coming from cotton yarn and fabric exports. The company in the second quarter saw a rise of 26.5 per cent in its net sales to Rs 1,279.51 crores. Net profit of the company also increased 154 per cent to Rs 177.81 crores.
Apparel exports from India too increased by 31 per cent to 1.2 billion dollars (Rs 7,482 crores) in the month of October due to strong demand for Indian apparels. Arvind and Raymond benefited because of the rise in demand for its denim fabric and apparel exports.
www.arvindmills.com
