For Q3 of financial year 2017 Vardhaman Textiles’ consolidated revenue declined 0.3 per cent year on year. EBITDA for the quarter rose 15.4 per cent year on year with a corresponding margin expansion of 329 basis points. EBITDA margin for the quarter stood at 24.2 per cent. This was driven by adjustments in inventories.
PAT for the quarter saw a year on year increase of 31.9 per cent. This was partly driven by a decrease in effective tax rate to 28.5 per cent in the third quarter of financial year 2017 from 31.5 per cent in the third quarter of financial year 2016.
Vardhaman makes almost all types of yarn, barring a few synthetic yarns like 100 per cent polyester. It is a pioneer in cotton, cotton blended, cellulosic. Vardhaman has 1.1 million spindles and it makes 6,00,000 tons of yarn a day. Of the total capacity one-third goes for captive consumption. Another one-third goes for the Indian market. And one-third goes for exports. The company uses innovative fiber blends and it has special products to cater to customers’ needs. Today 50 per cent of its production is of value added yarns for India. Vardhaman is all over India.