Raymond clocks in consolidated revenue worth Rs 6,438 cr in FY21-22 

Textiles and fashion retailer Raymond Group said that it has earned a consolidated revenue of Rs 6,438 crore in FY2021-22, up from Rs 3,648 crore in FY2020-21, as per its annual report. The Gautam Singhania-led behemoth raked in earnings before interest, taxes, depreciation and amortization (EBITDA) of Rs 881 crore in FY22, an increase of 13.49 per cent from Rs 135 crore in FY21. Raymond’s total assets grew from Rs 6,740 crore in FY21 to Rs 7,377 crore in FY22.

The company’s net profit stood at Rs 260 crore whereas its profit before taxes reached Rs 413 crore in FY22. Raymond’s net debt reached Rs 1,088 crore in FY22 during the same period. Raymond saw a dip in its numbers in FY21 due to the coronavirus pandemic that upended the global economy.

Raymond’s consumer business comprises of branded textile, branded apparel and retail. Its branded textile division raked in sales worth Rs 2,789 crore and exports to more than 40 countries whereas the apparel business logged sales worth Rs 891 crore. As of FY22, Raymond has 1,351 exclusive stores, 1,304 stores in over 600 cities and towns in India and 47 stores in eight countries.

Raymond’s B2B front comprises of businesses like garmenting (high-end suits, jackets, trousers and shirts) and high-value cotton shirting (cotton and linen). Raymond’s garmenting business logged sales worth Rs 725 crore mainly from the US, Europe and Japan and exports to over 20 countries. Its high-value cotton shirting business raked in sales worth Rs 572 crore.

The report read, “With constant focus on operational efficiencies and cost rationalisation, the company achieved 21 per cent lower operating cost as compared to FY20 (pre-COVID levels).” The company also listed fluctuations in currency, higher interest costs and frequent changes in raw material prices leading to lower margins as its big challenges.

In order to tackle higher raw material prices, the company sources wool from Australia, South Africa, the US and Paraguay, linen flex from Belgium and France and cotton yarns domestically. It added, “We manage price fluctuation risks through combination of forward and spot bookings, inventory management, pre-emptive vendor development practices and price hikes undertaken.”