Indian towels-maker Welspun Living's Q1 profit rises on strong urban demand

Welspun Living

24/07/2024 09:42

BENGALURU, July 24 (Reuters) - India's Welspun Living  WLSP.NS  posted a rise in first-quarter profit on
Wednesday, on strong demand for its towels and bed sheets from urban consumers.
    The company's profit rose 15% year-on-year to 1.86 billion rupees ($22.2 million) in the three months to
June 30.
    Its revenue climbed 16% to 25.36 billion rupees, the company said.
    
    KEY CONTEXT
    Strong urban demand has helped home linen and textiles-makers in the last fiscal year ended March. This
extended into the June-quarter. Softer raw material prices also helped companies.
    Analysts expect demand for Indian textiles to get a boost after India and the UK sign a trade agreement. 
    
    PEER COMPARISON
                                   Valuation     Estimates (next 12         Analysts' sentiment         
                                   (next 12           months)                                           
                                    months)                                                             
                      RIC        PE     EV/EBI  Revenue     Profit    Mean     # of      Stock to       Div
                                        TDA     growth (%)  growth    rating*  analysts  price          yield
                                                            (%)                          target**       (%)
 Welspun Living        WLSP.NS   18.65   10.23    12.79      24.73    Buy             9      0.93           0.06
 Arvind                ARVN.BO   18.77    9.84    15.93      41.17    Strong          6      0.83           1.00
                                                                      Buy                               
 KPR Mill              KPRM.NS   27.87   18.95    11.30      20.00    Buy             7      0.93           0.59
 Vardhman Textiles     VART.BO   13.91   10.73     9.02      44.29    Buy             4      1.11           0.66
 * Mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
 ** Ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading
above the PT
    
    APRIL-JUNE STOCK PERFORMANCE
    
    -- All data from LSEG
    -- $1 = 83.7050 Indian rupees

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APRIL-JUNE STOCK PERFORMANCE    https://tmsnrt.rs/4cUrJeD
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 (Reporting by Varun Hebbalalu in Bengaluru; Editing by Mrigank Dhaniwala)
 ((varunvyas.hebbalalu@thomsonreuters.com;))