KPR Is In Upward
KPR Mills, India’s leading vertically integrated apparel company has posted an increase in net sales of 19.2 percent at Rs 5732 mn in 2007-08 as against Rs 4816.2 mn the previous year. The company’s EBIDTA rose by 7.1 percent to Rs 1,472.6 mn as compared to 1374.9 mn in 2006-07. Commenting on the performance, P Nataraj, Managing Director of KPR Mills said that it is the unique business model of the company that has helped to achieve growth even as textile industry as a whole is facing tough times due to recessionary trends in global markets. The three key components of the model are self sufficiency in power through wind energy, unique labour model that ensures optimum productivity and procurement efficiency through purchase of distinct grade raw material at peak season when the quality is best and prices are low.This enhances production and efficiency in the operations, Nataraj said. The company has declared a dividend of 30 percent in addition to an interim dividend of 20 percent. The total dividend payout is Rs 220.4mn. The EPS has risen to 22.41 from Rs 19.04, net profit by 35.8 percent to Rs 793.5 mn as against Rs 584.2 mn the previous year. The company has completed its phase I expansion with an outlay of Rs 5440.05 mn and second phase expansion is being undertaken with an outlay of Rs 1,219 mn, post its IPO.
