Arvind Ltd, a clothing retailer, saw a 2.1% increase in profit during the fourth quarter, buoyed by consistent demand for its textiles.
The corporation, renowned for retailing international labels such as Tommy Hilfiger, Arrow, and Calvin Klein, reported a surge in consolidated net profit to 990.3 million rupees ($11.9 million), up from 970 million rupees in the preceding year.
Indian retailers are combatting sluggish demand and cautious consumer spending by swiftly rolling out discounted products to entice shoppers.
Nevertheless, they persist in experiencing decelerated volume growth amidst escalating competition.
Continue Exploring: Arvind Fashions reports multifold rise in Q3 net profit to INR 51.08 Crore; Sephora business sale boosts earnings
Arvind recorded a 10.3% surge in revenue from operations, with its core textile segment, comprising almost 72% of total sales, experiencing a 5% growth.
The company reported a rebound in denim sales for the quarter, alongside growth in garment and woven product sales.
Arvind’s advanced materials segment, responsible for producing fabrics and protective gear for construction, saw a growth of approximately 21%.
In its investor presentation, the company stated that with inventory correction completed and new customer onboarding alongside fresh order bookings, the demand outlook appears positive for the financial year 2025.
The retailer announced its intention to increase its capital expenditure to 4-4.50 billion rupees for upcoming projects.
Moreover, it greenlit a dividend of 4.75 rupees per share, inclusive of a one-time special dividend.
Rival Shoppers Stop reported a 53% surge in fourth-quarter profit, buoyed by robust demand in its beauty segment and luxury product offerings.
Trent, owned by Tata Group, experienced a five-fold increase in quarterly profit, attributed to the expansion of its lower-priced Zudio brand stores.
Continue Exploring: Shoppers Stop reports 53% rise in Q4 profit driven by beauty and luxury items
