Arvind sees a dip in its Q2 net profit by 22 per cent

Textiles and apparel major Arvind has seen nearly 22.55 per cent drop in consolidated net profit for Q2 ended June 30. Total income during the quarter went up by 17.47 per cent. With demonetization, and a sharp increase in cotton prices and the appreciation of rupee against the dollar, Arvind sees its performance in the quarter as satisfactory. It expects to continue double digit growth in the coming fiscal led by robust growth in its brand and retail business.

The company has a strong portfolio of its own and licensed brands. Its own brands include Flying Machine, among others, while licensed brands include Tommy Hilfiger, Calvin Klein, Arrow, Gant, Nautica, Gap, and Aeropostale.

Arvind’s textile business (denim and fabric) contributes 60 per cent to total revenue and the rest is by brands and retail business. Arvind is one of India’s largest integrated textile and apparel companies. The company is also one of the largest producers of denim fabrics and is supplier to a large number of fashion brands in the world.

Arvind has launched its ready-to-wear brand. The brand, also called Arvind, will initially be available in Gujarat and Karnataka at 50 Arvind stores. It will then go on to all such 170 stores across 100 cities and the company’s 10,000 points of sale.