Raymond Q1 net loss narrows to Rs 13.72 crores

Diversified group Raymond managed to bring down its consolidated net loss at Rs 13.72 crores for the first quarter ended June 30, 2015, on account of high revenue growth. The company had posted a consolidated net loss of Rs 32.85 crores during the April-June period of previous financial year.

Raymond’s total consolidated income from the operation during the quarter under review increased by 2.27 percent to Rs 1,121.69 crores against Rs 1,096.75 crores during the same period of last financial year, Raymond said in a filing to the BSE.

Commenting on the results Raymond Chairman and Managing Director Gautam Hari Singhania said: "The current quarter witnessed a subdued consumer sentiment in the domestic market and sluggish demand in the exports market, particularly in the garmenting and automotive segments. Despite these challenges, Raymond has been able to register a marginal top-line growth at the consolidated level and margin improvement at EBITDA level."

As of March 2015, Raymond had 960 Indian retail stores and 43 overseas stores. Its new initiative, 'made to fit', where semi-finished clothes are tailored to fit the customers, is also receiving positive response. Though costs on these new initiatives may put pressure on margins in this segment in the short term, analysts feel, improved performance could boost sales and profitability in the long-term.