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Recently listed stock jumps 5% after it reports 43% increase in net profits in Q1

Published 10-09-2024, 11:12 am
Updated 10-09-2024, 02:16 pm
Recently listed stock jumps 5% after it reports 43% increase in net profits in Q1
SARW
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Textile stock engaged in offering a range of women’s apparel, including Kurtis, sarees, and dress materials jumped 5 percent in the day’s trade upon declaring robust Q1FY25 results with a 43 percent jump in Net Profits.

Price Action

With a market capitalization of Rs. 656 Crores, the shares of Saraswati Saree Depot Limited were trading at Rs. 165.65 per equity share, up 4 percent from its previous day’s close price of Rs. 159.75.

Is Saraswati Saree Depot a buy or sell? What is its Fair Value? What are the company's health parameters? What are the positive and negative factors driving the company -- ProTips? Know all the answers on the company's overview page here.

Q1FY25 Results

Its Revenue from operations grew by 0.77 percent YoY from Rs. 12.93 Crores in Q1FY24 to Rs. 13.03 Crores in Q1FY25 and it grew by 6 percent QoQ from Rs. 12.27 Crores in Q4FY24 to Rs. 13.03 Crores in Q1FY25.

Its Net Profit grew by 43 percent YoY from Rs. 42.69 Lakhs in Q1FY24 to Rs. 61 Lakhs in Q1FY25 and it grew by 43.32 percent QoQ from Rs. 42.56 Lakhs in Q4FY24 to Rs. 61 Lakhs in Q1FY25. Its Net Profit Margin increased from 3.29 percent in Q1FY24 to 4.68 percent in Q1FY25.

About the Company

Saraswati Saree Depot Limited operates in the wholesale saree (B2B) business segment. It offers a range of women’s apparel, including Kurtis, sarees, and dress materials. Sarees contribute over 90 percent of its total revenue.

It regularly sources sarees and other women’s apparel from more than 900 weavers/suppliers across different states in India, with product catalog lists of more than 300,000 different SKUs. It mainly operates in southern and western regions comprising Maharashtra, Goa, Karnataka, and Tamil Nadu (NS:TNNP).

In terms of return rations, it has reported a return on equity (ROE) of 58.9 percent and a return on capital employed (ROCE) of 45.2 percent. Coming to liquidity it has reported a debt-to-equity ratio of 0.67.

Written by: Bharath K.S

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