SVP Global Ventures announces Q2FY22 results with EBITDA of Rs. 93.06 crore and PAT Rs. 40.85 crore

Mumbai: SVP Global Ventures Ltd, India’s leading compact cotton yarn manufacturer and one of the fastest growing multinational textile company has reported a net profit of Rs. 40.85 crore for the Q2FY22 ended September 2021, as against a net profit of Rs. 10.75 crore in Q2FY21, growth of 280%. EBITDA for Q2FY22 was reported at Rs.93.06 crore (EBITDA Margin 23.18%) as compared to EBITDA of Rs. 57.63 crore (EBITDA Margin 15.83%) in Q2FY21, a growth of 61%. Income from Operations for the Q2FY22 was reported at Rs. 405.74 crore, growth of 9% over previous fiscal’s same period income from operations of Rs. 372.28 crore. EPS for Q2FY22 was reported at Rs. 3.23 per share.

 

During the quarter, SVP Global subsidiary – SV Pittie Sohar Textiles (FZC) commenced commercial operations on 15th August 2021 at its mega textile plant at Sohar Free Trade Zone in Oman. The Group has invested USD 150 million (around Rs. 1,100 crore) in setting up 1.5 lakh spindles and 3,500 rotors facility.

 

Commenting on the results and performance, Maj Gen OP Gulia, SM, VSM (retd), CEO, SVP Global Ventures Ltd said, “Company’s performance during the quarter has been quite remarkable across all segments on the back of improving volumes, strong order book and innovative products. Expansion at Oman is completed and has started to contribute to the financial performance of the Group. Our strategic growth initiatives, enhanced capacity and operational efficiencies, product and geographical expansion with a focus on high margin products i.e Compact cotton are likely to drive profitability, contribute to the growth of the company and enhance value for our stakeholders.”

 

For the six months ended September 2021, company posted net profit of Rs. 80.04 crore (PAT Margin 10.18%). Income from Operations for the H1FY22 was reported at Rs. 817.60 crore, growth of 73% over previous fiscal’s same period income from operations of Rs. 472.08 crore. EBITDA for H1FY22 was reported at Rs. 184.45 crore (EBITDA Margin 23.46%). EPS for H1FY22 was reported at Rs. 6.33 per share.

 

With a vision of becoming a fully integrated textile manufacturer, the company is also foraying into technical textiles. Company is investing around Rs. 100 crore in setting up a 4,375 MT per annum green-field facility at Jhalawar, Rajasthan and plans to manufacture protective uniforms, functional garments, medical textile, mobiltech, hometech, anti-odour and antibacterial knitted fabric for sports, medical and cosmetic uses. Company plans to commence commercial production in 12 to 15 months.

 

Established in 1898, by Shri Vallabh Pittie, SVP Group is primarily engaged in manufacturing of polyester, polyester & cotton blend, and 100% cotton yarn across 3 state-of-the-art manufacturing facilities in Jhalawar (Rajasthan), Ramnad (Coimbatore) and Sohar (Oman). Company has a vision to become a world-leading, fully integrated textile company in manufacturing yarn, fabric and garments.

 

The order book of the company currently stands at Rs. 5,000 crore which is equivalent to next 2-3 years of revenue. SVP Global is among top 2% Indian Manufacturers with technology less than 5 years old and output of 153-154 grams per spindle per shift, which is highest in the industry. Company’s manufacturing facilities are equipped with latest technology automated machinery equipped with Artificial Intelligence and IOT capabilities from Blow Room to Windling. SVP Global is accredited as an approved supplier for leading brands including IKEA and Zara. For FY21, Company reported total income of Rs. 1422 crore, EBITDA at Rs. 234 crore and PAT at Rs. 25 crore.