Asian Granito India Limited Reports PAT of Rs. 19.8 Crore in Q2FY21

AHMEDABAD:
Asian Granito India Limited (AGIL), manufacturer of one of India’s leading tiles brand has reported an excellent financial performance in the second quarter ended September 2020. Company reported consolidated EBITDA of Rs. 41.8 crore on consolidated sales of Rs. 344.3 crore during the Q2FY21 ended September 2020. During the quarter, tiles division has seen strong traction in demand from domestic as well as from the export market resulting in strong revenue growth.

Quarterly Highlights
Consolidated Net sales for the quarter ended September 2020 was reported at Rs. 344.3 crore, lower by 3.5% over previous fiscal’s same period net sales of Rs. 356.9 crore. Consolidated EBITDA for the quarter ended September 2020 was reported Rs. 41.8 crore. Company reported net profit of Rs. 19.8 crore during the second quarter for financial year 2020-21.

Commenting on the results and performance, Kamlesh Patel, Chairman and Managing Director said, “As the second quarter of the Financial Year 2020-21 has concluded, we are happy to announce that the Company’s performance has become similar to pre-COVID times. This has been possible by facing the challenges, drawing effective strategies and marching with determination. The Indian ceramic industry has benefitted from the rising demands of global players. As a result, the large players have improved the working capacity of their plants by a huge margin. Further advantages for the domestic industry have been the reduced gas prices and the anti-China sentiments. With an impressive performance in various sections of the market, we are looking forward to consistent growth in the coming quarters of FY21.”

Further to strengthen international business and boost exports, company has launched 15,000 sq. ft. ‘AGL Export House’ at Morbi – India’s hub for ceramic tiles & sanitaryware. This will be crucial to the Company’s vision of improved international operations. It will house the complete range of sanitaryware, bathware and tiles, in all designs and sizes, for our trade partners. This initiative will help the Company expand its network to more than 120 countries, leading to a better brand presence and widened outreach.

Patel further added, “We have been continuously working towards cost optimization measures and improving operational efficiencies. The Company has a good presence in rural and Tier-II cities. We will continue to focus on creating value-based products for the middle class, which has been crucial for our impressive numbers in Q2FY21. To manage the challenging times at the beginning of FY21, we laid down well-though strategies which are aimed at fixing the semi-variable costs. In the coming quarters the Company will be moving towards setting new standards of progress and continue to serve the customers.”

Half Yearly Results Highlights
Asian Granito India Ltd. reported net sales of Rs. 473.7 crore for the half year ended September 2020, lower by 29.2% over previous fiscal’s same period net sales of Rs. 668.9 crore. EBITDA for H1FY21 ended September 2020 was reported at Rs. 45.8 crore (EBITDA Margin at 9.7%) as compared to Rs. 65.4 crore (EBITDA Margin at 9.7%) in the corresponding period last year.

Net Profit for the H1FY21 stood at Rs. 12.3 crore (PAT Margin 2.6%) as compared to net profit of Rs. 23.8 crore (PAT Margin 3.6%).

Asian Granito India Ltd. has the widest range of products including, ceramic floor, digital wall, vitrified, parking, porcelain, glazed vitrified, outdoor, natural marble, composite marble & Quartz, etc. To provide a complete bathing solution to its customers, the Company added CP Fittings and Faucets to its sanitary division. The Company has set a target to increase its touchpoints and expand the network of exclusive showrooms to 500.