Relaxo Footwears Ltd. declared its results on Wednesday, with its net profit standing at Rs. 24.22 Cr facing a decline of 51.31% YoY.
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- Relaxo Footwears Limited is an Indian multinational footwear manufacturer based in New Delhi. It is the largest footwear manufacturer in India in terms of volume and second-largest in terms of revenue, with a market share of more than 5 per cent. The company makes products under 10 brands including Flite, Sparx, Bahamas and Schoolmate.
- The company declared a profit before taxes (PBT) of Rs.32.3 Cr stating a 57.1% decline YoY and a 53.19% QoQ. EBITDA stood at Rs. 58 Cr down 45% as compared to last year.
- The Company said in its statement: “The Company’s operations for the quarter were impacted due to the temporary suspension of production across plants. The operations are gradually ramping up, despite limited availability of workforce and supply chain disruptions.”
According to researchandmarkets.com, India is the largest global producer of footwear after China, accounting to approx 13% of world footwear production, which is close to 16 billion pairs. This means that the average consumption globally is about 2-3 pairs/person. India produces approximate 2 Billion pairs annually in different categories of Footwear. India exports about 115 million pairs, thus nearly 95% of its produce meets its domestic demand.
Revenue in the Footwear market amounts to US$7.9 Billion in 2020. The global market is expected to grow annually by 9.6% (CAGR 2020-2025) and hopefully Relaxo will be part of the growth as well.
You may check the company report over here.