WELSPUNLIV · Textiles
Welspun Living Ltd. reported revenue of ₹2,873 cr for July to September 2024, +14.5% on the year and +13.3% on the quarter. It is the highest quarterly revenue in the last 6 quarters on record.
Operating profit (EBITDA) was ₹358 cr, a margin of 12.5%, −181 bps on the year and −102 bps on the quarter. It is the narrowest margin of the last 6 quarters (range 12.5% to 14.3%). Operating costs grew +16.9%, faster than revenue at +14.5%, so operating profit grew less than sales.
Net profit was ₹202 cr, +1.0% on the year and +8.6% on the quarter, with earnings per share of ₹2.10. Profit before other income, one-offs and tax fell 4.0%, so 5 points of the headline growth came from outside the core business. The tax rate of 28% is in line with its recent average.
Retail growth comes from new stores and from sales at existing stores; the statements show the total, the filing shows how much each contributed. The quarterly statements do not carry same-store sales, stores added and revenue per square foot; those come with the filing read.
On earnings per share of ₹7.33 over the last four quarters, the stock at ₹219.69 trades at 30.0 times trailing earnings.
Written from the quarterly statements. The filing read adds the balance sheet and cash flow filed with this quarter, the auditor's review, segment results, one-off items line by line and what management said on the call.
Finance cost rose fast and now takes a large bite of operating profit. New borrowing, or a higher rate?
Finance cost ₹55.0 cr, +61.8% on the year; 15% of EBITDA.
Source: Quarterly statements
Depreciation fell while the business grew. Were asset lives changed?
Depreciation ₹86.0 cr, −12.2% on the year.
Source: Quarterly statements
Operating margin slipped on the year.
EBITDA margin 12.5%, −181 bps on the year (−102 bps on the quarter).
Source: Quarterly statements
Could not run on this quarter: Exceptional items that recur, Cash behind the profit, Receivables against sales, Inventory against sales, Borrowing while holding cash, Auditor's review or audit report, IPO money used as stated, Related-party transactions, Exits, postponements, restatements, Promoter pledges and allotments, Earlier promises against delivery, When the results were filed. Most need the filing read (balance sheet, cash flow, auditor, disclosures).
Net profit a year ago, each driver's change, and net profit now. Blue added profit, red took it away.
This quarter's filing carries a balance sheet and a cash flow statement. The cash, receivables and borrowing checks run once the filing read is in.
| Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | Q2 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹2,411 cr | ₹2,575 cr | ₹2,536 cr | ₹2,873 cr | ₹2,490 cr | ₹2,646 cr | ₹2,261 cr | ₹2,441 cr | ₹2,262 cr | ₹2,435 cr | ₹2,795 cr | ₹2,838 cr |
| YoY | — | — | +16% | +15% | +3% | +3% | −11% | −15% | −9% | −8% | +24% | +16% |
| EBITDA margin | 14.1% | 13.9% | 13.5% | 12.5% | 11.2% | 11.9% | 10.0% | 6.3% | 7.1% | 10.2% | 11.5% | 11.9% |
| Other income, % of PBT | 18% | 17% | 21% | 23% | 24% | 1% | 23% | 63% | −36% | 13% | 15% | 11% |
| Exceptional items | — | — | — | — | — | — | — | — | — | — | — | — |
| Tax rate | 25% | 48% | 27% | 28% | 22% | 21% | 28% | 38% | — | 15% | 26% | 25% |
| Net profit | ₹179 cr | ₹131 cr | ₹186 cr | ₹202 cr | ₹123 cr | ₹133 cr | ₹89.0 cr | ₹15.0 cr | ₹3.0 cr | ₹106 cr | ₹163 cr | ₹170 cr |
| YoY | — | — | +14% | +1% | −31% | +2% | −52% | −93% | −98% | −20% | +83% | +1,033% |
| Core profit YoY | — | — | +9% | −4% | −39% | −21% | −53% | −96% | −84% | −34% | +96% | +2,133% |
| EPS | ₹1.82 | ₹1.50 | ₹1.91 | ₹2.10 | ₹1.26 | ₹1.37 | ₹0.91 | ₹0.14 | ₹0.00 | ₹1.08 | ₹1.70 | ₹1.79 |
| Flags | · | · | ✓ | 2 | 2 | 2 | 1 | 2 | 1 | 1 | ✓ | ✓ |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.
Welspun Living Ltd. reported revenue of ₹2,873 cr (+14.5% on the year) and net profit of ₹202 cr (+1.0% on the year) for July to September 2024.
Profit before other income, exceptional items and tax moved −4.0% on the year, against +1.0% for reported profit.
2 checks raised a question: Finance cost rose fast and now takes a large bite of operating profit. New borrowing, or a higher rate?
No. FinMinutes reports what was filed and the questions the numbers raise. It does not recommend buying, selling or holding any security.
Numbers as filed with the exchanges, read by rules. Every flag is a question with its source, not an accusation. FinMinutes is a financial data and analytics platform; nothing here is a recommendation to buy, sell or hold any security. How each check works.