S.P. Apparels Ltd (BOM:540048)
₹ 1,052.55 +19.4 (+1.88%) Market Cap: 26.46 Bil Enterprise Value: 29.82 Bil PE Ratio: 26.19 PB Ratio: 2.78 GF Score: 87/100

Q2 2025 S.P.Apparels Ltd Earnings Call Transcript

Nov 13, 2024 / 06:30 AM GMT
Release Date Price: ₹816.75 (-5.80%)

Key Points

Positve
  • S.P. Apparels Ltd (BOM:540048) is benefiting from the global shift towards the China plus one and Bangladesh plus one strategy, positioning India as a key sourcing destination.
  • The company has achieved a 95% utilization rate in its spinning division, enhancing efficiency and performance.
  • The acquisition of Young Brand Apparel has opened doors to the American market, expanding the company's customer base and growth potential.
  • S.P. Apparels Ltd (BOM:540048) has a strong order book of INR 512 crores, indicating robust demand.
  • The company is implementing strategic measures to maximize capacity utilization, aiming for a 90% utilization rate by March 2025.
Negative
  • Higher employee expenses due to recruitment and training have impacted operational margins.
  • Increased air freight costs due to expedited orders have affected profitability.
  • The retail division reported a nominal loss, and the company is exploring fundraising opportunities to improve its financial position.
  • The company's EBITA margin in the garment division has been impacted by increased costs and training expenses.
  • There is pressure on margins due to the competitive nature of the industry and fluctuations in raw material prices.


Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

SPAP.NS - S.P.Apparels Ltd
Q2 2025 S.P.Apparels Ltd Earnings Call
Nov 13, 2024 / 06:30AM GMT

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Presentation
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Unidentified_1 [1]
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Ladies and gentlemen, good day. And welcome to Sp Apparel Limited Q2 FY25 earnings conference call hosted by Elara Securities Private Limited. As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call? Please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded.

I now hand the conference over to Miss Prina Junjun Wala from Elara Securities Private Limited. Thank you and over to you, ma'am.

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Unidentified_2 [2]
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