India's Raymond Ltd's profit jumps on real estate, engineering business strength

Raymond

06/08/2024 12:26

BENGALURU, Aug 6 (Reuters) - India's Raymond Ltd
 RYMD.NS  reported a 40% rise in its first-quarter adjusted
profit on Tuesday, helped by strength in its real estate and
engineering business as it shifted away from its once mainstay
textiles and apparel businesses.
    The nearly 100-year-old conglomerate has been going through
a major shift in its businesses that started with selling its
consumer goods business, including brands such as Park Avenue
deodorant and Kamasutra condoms, early last year to spinning off
its textiles and apparel business in the latest quarter.
    The realty business, which accounted for just roughly 53% of
Raymond's revenue in the quarter, will also be spun off, which
will Raymond Ltd with just its engineering business.
    Sales in the engineering business, which includes making
automotive and aerospace parts, doubled in the quarter, while
real estate sales surged 108%.
    That helped Raymond's adjusted profit before tax to rise to
920 million rupees (nearly $11 million) in the April-to-June
quarter from 660 million rupees last year.
    Raymond said it expects the lifestyle business to be listed
on the stock exchange this quarter and has started the process
of spinning off its realty business.
    Once done, Raymond Ltd, Raymond Lifestyle and Raymond Realty
be part of the broader Raymond Group.
 
 ($1 = 83.9051 Indian rupees)

 (Reporting by Indranil Sarkar and Ashna Teresa Britto in
Bengaluru; Editing by Savio D'Souza)
 ((Indranil.Sarkar@thomsonreuters.com; Mobile:  +91
7022132226;))