Greenlam Industries Limited for the third quarter ended on December 31, 2022, consolidated net revenues from operations witnessed a growth of 12.0%, at Rs. 503.5 crore, as compared to Rs. 449.7 crore in the corresponding quarter of the previous financial year. The laminate business witnessed a value growth of 12.5% and volume growth of 7.1% on YoY basis. The operating profit grew by 2.7% to 54.8 crore as compared to Rs. 53.4 crore in the corresponding quarter last year. The company reported a net profit of Rs. 28.2 crore for the current quarter. They continued focus on managing balance sheet with improvement in net working capital.
The highlights for nine months ended December 31, 2022 is that the net revenues reported at Rs. 1492.1 crore with a growth of 20.3% on YoY basis. Overall laminate business grew by 20.2%, however volumes de-grew by 1.6% on YoY basis. EBDITA reported at Rs. 158.8 crore, growth of 15.5% on YoY basis and net profit reported at Rs. 81.9 crore obtaining a growth of 26.2% on YoY basis. Speaking about the results Mr. Saurabh Mittal, Managing Director and Chief Executive Officer, Greenlam Industries Ltd. said, “Our gross margins expanded by 400 bps to 48.3% on YoY basis primarily on account of declining raw material costs and improved product mix. However, overall EBIDTA margin declined by 100 bps and stood at 10.9% on account of higher operating expenses. PAT for the quarter grew by 4.8% on YoY basis and stood at Rs. 28.2 crores.”
“Net debt for the quarter stood at Rs. 147.5 crores, increase of Rs. 71.9 crores on QoQ basis primarily on account of debt being drawn for our new projects. Sustaining our focus on strengthening our manufacturing capabilities, our plant in Prantij, Gujarat started its operations in August 2022 and all the presses with the enhanced capacity shall be operational by March 2023. Our plywood project in Tindivanam, Tamil Nadu is likely to start their commercial production by Q4FY23. Our high-pressure laminate project in Naidupeta, Andhra Pradesh is expected to start commercial production by Q1FY24. Further our particle board project in Naidupeta, Andhra Pradesh shall start commercial production by Q4FY24. We have partnered with IFC (International Finance Corporation) for part funding of the Naidupeta project,” he added.
This quarter they also launched brand campaign, "Kuch Mera, Kuch Tumhara,” to promote a wide range of surfacing solutions, on television and digital media. The campaign showcases the diverse portfolio of Greenlam Laminates. They also expanded their retail experience by launching an experience centre in Ahmedabad, Gujarat. The experience centre provided Greenlam’s customers with an immersive experience featuring a myriad range of products across all brands of Greenlam Industries including laminates, compacts, interior and exterior cladding, restroom cubicles & locker solutions, decorative veneers, engineered wooden floors and doors.