Ahmedabad based denim fabric producer reports 35 % rise in profit in Q1

Ahmedabad

Nandan Denim Limited (NDL), the Ahmedabad based India’s second largest integrated denim fabric manufacturer has reported a net profit of Rs. 15.50 crore for the first quarter of fiscal 2015-16 as against Rs 11.47 crore in the corresponding period in 2014-15, a rise of 35%.

Net sales for Q1 of FY 2015-16 at Rs. 280.50 crore were also higher by 6% over previous fiscal’s same quarter net sales of Rs. 263.68 crore.

During the quarter, the Company has reported 14% of revenues from export markets. As of now, it exports to 28 countries.

CEO, Nandan Denim Limited Deepak Chiripal said, “The Company is following its well defined charter of growth and we are pleased with the performance so far. A disciplined approach in line with the long term strategy would enable us to further cement our position in the industry. We are investing towards creation of machining and manpower competence to build a brand that would be synonymous with the consistent quality and timeliness of delivery.”

The total expenditure on the proposed capacity expansion of Rs. 612 crore is progressing as per plan. The major CAPEX orders have already been finalised and civil activities are in full swing albeit slow due to monsoon. The company expects to commission complete facilities in the first quarter of 2017, he said.

NDL is a part of leading conglomerate, Chiripal Group, established in 1972 and is currently diversified across several businesses like Textiles, Petrochemicals, Chemicals, Packaging, Infrastructure and Education. Company commenced its operations in 1994 with textile trading business and forayed into textile manufacturing in 2004. The company currently engages in manufacturing of denims, cotton fabrics and khakis.

NDL has expanded its capacity from 6 MMPA to the intended capacity of 110 MMPA over the period of last 10 years. It exports its denim fabric to over 28 countries.

DeshGujarat